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Friday 24 August 2018
Des Moines Man Sentenced to Prison for Firearms OffenseRead the Press Release
Roman Deon Hellems, Jr. sentenced to 96 months for felon in possession of a firearm
DES MOINES, Iowa – On August 24, 2018, Roman Deon Hellems, Jr., age 23, of Des Moines, appeared before United States District Court Judge Stephanie M. Rose and was sentenced to 96 months in prison for a felon in possession of a firearm charge announced United States Attorney Marc Krickbaum. Hellems was ordered to serve three years of supervised release to follow his prison term.
According to the government’s sentencing memorandum, Hellems, a prior drug felon, was out of custody, on bond, for multiple counts of weapons possession, burglary, and criminal gang participation when members of the Des Moines Police Department encountered him during an October 7, 2017, traffic stop. Hellems was found in possession of a loaded and stolen Glock 26 9mm handgun. When law enforcement attempted to arrest Hellems, he fought the officers. Ultimately, it took three officers, two Taser deployments, and pepper spray to detain him. During the struggle with Hellems, the magazine to an officer’s firearm was dislodged and was later found where Hellems had assaulted him.
When pronouncing judgment, the District Court commended the Des Moines Police Officers for their professionalism and the restraint the officers demonstrated in safely arresting Hellems, despite his efforts to assault them. “The Des Moines Police Department and Federal Bureau of Investigation have been great partners in addressing violent crime in the Southern District of Iowa,” stated United States Attorney Krickbaum. “The Defendant and other felons who carry guns should understand: if you illegally possess a gun on the streets of Des Moines you will face real consequences and real punishment, including significant prison time.”
This investigation was conducted by the Des Moines Police Department and the Federal Bureau of Investigation. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Cranston Man Held on State Kidnapping, Domestic Violence Charges Charged in Federal Court with Possession and Distribution of Child PornographyRead the Press Release
PROVIDENCE - A Cranston man charged and ordered held without bail on Rhode Island state kidnapping, indecent exposure, and domestic disorderly conduct charges made an initial appearance in federal court in Providence on Wednesday on a federal criminal complaint charging him with possession and distribution of child pornography.
Robert E. Soares, 38, was arrested and charged by Cranston Police on May 27, 2018, after he allegedly forcibly confined and kidnapped his girlfriend, exposed himself to others, and engaged in fighting and violent behavior. Cranston police were called to the woman’s residence when Soares allegedly refused to allow the woman to leave the apartment.
According to court documents, on May 30, 2018, Soares’ girlfriend contacted Cranston Police to report that she had received a call from an individual unknown to her who alleged to her that he was concerned about some photographs he allegedly received from Soares during the weeks leading up to Soares’ arrest. The individual described the photographs as “disgusting,” and said that they appeared to depict a nude young female.
A subsequent investigation by Cranston Police determined that in the weeks leading up to his arrest, Soares allegedly persuaded a 14-year-old girl to allow him to take several photographs and a video of her dressed only in her underwear. Additionally, a court-authorized search of Soares’ cell phone resulted in the discovery of a series of messages sent and received by Soares allegedly discussing photographs depicting child pornography that had been sent and received.
Soares initial appearance in federal court on a criminal complaint charging him with possessing child pornography and distribution of child pornography is announced by United States Attorney Stephen G. Dambruch, Cranston Police Chief Colonel Michael J. Winquist, and Homeland Security Investigations Special Agent in Charge Peter C. Fitzhugh.
A criminal complaint is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
The case is being prosecuted by Assistant United States Attorney Denise M. Barton.
The matter was investigated by the Cranston Police Department, with the assistance of members of the Homeland Security Investigations Task Force and Warwick Police Department.
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Couple Charged with Crimes Committed in Vacaville, Rancho Cordova, Folsom, and RocklinRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a 17-count indictment Thursday against Cody Patrick Cannon, 30, and Candice Nicole Freitas, 31, both transients, charging them with a scheme involving mail theft, aggravated identity theft, bank fraud, and possessing stolen credit and debit cards and stolen driver’s licenses and passports, U.S. Attorney McGregor W. Scott announced.
According to the indictment, between January 2018 and August 2018, Cannon and Freitas engaged in a scheme in which they used counterfeit U.S. Postal Service keys to open apartment complex mailboxes in Vacaville and steal mail. They then harvested personally identifiable information, financial information, and credit and debit cards. They defrauded banks by using the stolen cards to purchase goods and withdraw cash from ATMs in Vacaville, Folsom, Rocklin and Rancho Cordova.
According to court documents, on August 2, 2018, Cannon and Freitas were arrested at their RV parked in a hotel parking lot in Rancho Cordova. They were found to be in possession of stolen mail, checks, multiple stolen and fake California driver’s licenses, at least two passports bearing the names of others, and at least seven counterfeit U.S. Postal Service mail keys.
This case is the product of an investigation by the United States Postal Inspection Service, Sacramento Sheriff’s Department, Folsom Police Department, and Vacaville Police Department. Special Assistant U.S. Attorney Robert J. Artuz is prosecuting the case.
If convicted of bank fraud, Cannon and Freitas face a maximum statutory penalty of 30 years in prison and a $1 million fine. If convicted of aggravated identity theft, they face a mandatory sentence of two years in prison consecutive to any other sentence imposed. The maximum sentence for possession of stolen mail is five years in prison and a $250,000 fine. The maximum sentence for possession of USPS keys and possession of unauthorized access devises is 10 years in prison and a $25,000 fine. The maximum sentence for unlawful possession of identification documents is 15 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Correctional Officer Pleads Guilty to Conspiring to Take Bribes to Smuggle Contraband into the Metropolitan Correctional CenterRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced today the guilty plea of VICTOR CASADO to his role in a scheme to smuggle contraband into the Metropolitan Correctional Center (“MCC”), a Manhattan detention facility that houses federal inmates, in exchange for cash bribes. CASADO, a former federal correctional officer, pled guilty to one count of conspiracy to commit bribery and to introduce contraband into prison before U.S. District Judge Richard J. Sullivan.
U.S. Attorney Geoffrey S. Berman said: “As a correctional officer, Victor Casado’s duty was to ensure the security of the Metropolitan Correctional Center and the safety of inmates in his care. Instead of honoring that duty, he betrayed it, taking bribes to smuggle contraband into a jail that houses federal inmates. This Office will continue to stop the corruption of our criminal justice system by those entrusted with supervising incarcerated individuals and keeping them safe.”
According to the Information and Complaint filed in this case, other public filings, and statements made during the plea proceeding:
CASADO was employed as a correctional officer at the MCC from 2012 until his resignation in July 2018.
On multiple occasions in 2016 and 2017, CASADO smuggled cellphones, alcohol, over-the-counter medications, and food into the MCC in exchange for bribe payments from inmates. These bribes were funneled to CASADO by non-incarcerated relatives or associates of the inmates, either in cash or by wire transfer. For example, on multiple occasions, CASADO received bribes from an inmate (“Inmate-1”), transferred by one of Inmate-1’s attorneys, totaling more than $25,000, in exchange for smuggling alcohol and cellphones, among other contraband, into the MCC for Inmate-1. Additionally, CASADO also requested and received thousands of dollars in payments from another inmate (“Inmate-5”), which were delivered to CASADO by Inmate-5’s relatives and a paralegal who represented him. Inmate-5 paid CASADO at CASADO’s insistence, ostensibly to fund travel by CASADO to the Dominican Republic.
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CASADO, 35, of the Bronx, New York, pled guilty to one count of conspiracy to commit bribery and to introduce contraband into prison. The charge carries a maximum term of five years in prison. CASADO is scheduled to be sentenced by Judge Sullivan on January 11, 2019. The maximum potential penalty is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Berman praised the investigative work of the Federal Bureau of Investigation and the Department of Justice, Office of Inspector General.
This case is being handled by the Office’s Public Corruption Unit. Assistant U.S. Attorneys Jessica Lonergan and Nicolas Roos are in charge of the prosecution.
Connecticut Woman Pleads Guilty to Drug TraffickingRead the Press Release
CONCORD – United States Attorney Scott W. Murray announced that Brandy Rickaby, 34, of Danielson, Connecticut, pleaded guilty to drug trafficking.
According to court documents and statements made in court, on November 23, 2016, the defendant’s vehicle was stopped by a New Hampshire State Trooper on I-95 for traffic violations. Based on suspicious actions by Rickaby and a male passenger, the Trooper suspected the vehicle contained drugs. A dog conducted an exterior search of the vehicle and alerted to an area near the driver’s side window. Based on his suspicions and the dog’s alert, the trooper impounded the vehicle and applied for a search warrant, which was granted. Inside Rickaby’s purse, the Trooper located two bags of drugs. One bag contained 302.4 grams of a mixture of cocaine, fentanyl and heroin. The second bag contained 33.2 grams of cocaine.
Rickaby, who pleaded guilty to possessing controlled substances with intent to distribute, will be sentenced on November 29, 2018.
“The U.S. Attorney’s Office and our law enforcement partners will aggressively investigate and prosecute those who bring illegal drugs into New Hampshire,” said U.S. Attorney Murray. “The interstate transportation of Fentanyl has brought with it overdose deaths on an unprecedented scale. Accordingly, we will continue to enhance our efforts to bring those responsible to justice.”
The case was investigated by the Drug Enforcement Administration and the New Hampshire State Police.
The case is being prosecuted by Assistant United States Attorney Debra M. Walsh.
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Chicago Financial Advisor Guilty of Fraud for Swindling Investors and Family out of More Than $2 MillionRead the Press Release
CHICAGO — A Chicago financial advisor who told clients that a “fat finger” trading error caused major losses to their investments admitted in federal court today that he actually lost all of their funds through poor trading.
VISHAL SAVLA, 37, of Chicago, pleaded guilty to one count of wire fraud. Savla operated VCAP LLC, a Chicago investment fund that purported to trade in equities, options and futures contracts.
The guilty plea was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Jeffrey S. Sallet, Special Agent-in-Charge of the Chicago office of the Federal Bureau of Investigation. The government is represented by Assistant U.S. Attorney Sunil Harjani.
Savla admitted in a plea agreement that from 2014 to earlier this year, he raised approximately $2.3 million from investors on the promise of substantial returns. VCAP was largely unsuccessful during that time, losing approximately 96% in 2014 and more than 99% in the first eleven months of 2016. Savla continued to solicit and accept investments, and he sent clients phony account statements that fraudulently showed large profits instead of heavy losses, the plea agreement states. At one point in December 2016, according to the plea agreement, Savla falsely represented to clients that he accidentally committed a “fat finger trade” – an error when entering a trade online – that caused VCAP to decline by approximately 90% in a single day. Savla admitted in the plea agreement that there was no such error, and that trading losses had caused the decline.
In addition to the losses incurred by investors, Savla’s plea agreement acknowledges that he borrowed funds from family and friends to help repay VCAP investors. One family member, after being told by Savla about the purported “fat finger” mistake, loaned Savla $500,000, the plea agreement states. Savla used this money to partially repay some of the VCAP investors.
Savla also admitted in his plea agreement that he spent approximately $260,000 of investor funds for his own personal benefit, including living expenses. VCAP did not have any cumulative trading profits that allowed for these withdrawals.
Wire fraud is punishable by up to 20 years in prison. U.S. District Judge Charles R. Norgle set sentencing for Jan. 9, 2019, at 10:00 a.m.
Charlotte Jeweler Sentenced for Wire FraudRead the Press Release
CHARLOTTE, N.C. – Benjamin Abraham, 60, of Charlotte, was sentenced today by U.S. District Judge Robert J. Conrad, Jr. to 41 months in prison in connection with a $3.5 million investment scheme involving jewelry, precious metals and gemstones, announced the U.S. Attorney’s Office for the Western District of North Carolina. Abraham was also ordered to serve two years of supervised release and to pay $2,034,537 in restitution.
John A. Strong, Special Agent in Charge of the Federal Bureau of Investigation, Charlotte Office and David M. McGinnis, Inspector in Charge of the Charlotte Division of the U.S. Postal Inspection Service (USPIS) join the U.S. Attorney’s Office in making today’s announcement.
According to filed court documents and today’s sentencing hearing, Abraham, a well-known Charlotte-area jeweler, operated a number of businesses engaged in the wholesale and retail sale of diamonds, precious metals and jewelry, including Benjamin Diamonds, LLC, Benjamin Jewelers, LLC, Global Trading LLC, G&I USA, LLC and other related entities. From at least December 2012 through May 2017, Abraham executed a financial fraud scheme involving investments in jewelry, precious metals and gemstones, among other things, and induced at least seven victim-investors to invest over $3.5 million, resulting in losses of more than $2 million.
To induce his victims to fund the investment scheme, filed court documents show that Abraham made a number of fraudulent representations, including that the victims’ money would be used for short-term investments in gold or other precious metals, to invest in diamonds and jewelry obtained from estates, and to buy other large diamonds which would be sold for profit. Abraham also lied to investors about his past successes and profits from engaging in such investments, misrepresented the security of the investments and made false representations about the rate of return and the duration of the investments. At times, Abraham also falsely represented that he had unique access to estate sales due to his connections and that he would be also be investing his own money.
Court records show that when victims asked about the status of their investments, Abraham gave numerous false explanations, and, at times, provided victims with checks from accounts that Abraham knew did not have sufficient funds to cover the checks and continued to lie when he was confronted about the dishonored checks.
According to court records, rather than invest the victims’ money as promised, Abraham used it to fund his lifestyle, to keep his struggling businesses afloat, to pay pre-existing debts, and to make Ponzi-style payments to other victim-investors.
In sentencing Abraham today, Judge Conrad emphasized the seriousness of Abraham’s crimes, the fact that Abraham continued to defraud victims after he was approached by federal law enforcement agents, and the need to specifically deter Abraham from future criminal conduct. Judge Conrad also cited the need provide general deterrence to those, like Abraham, who would engage in difficult to detect financial frauds.
The FBI and USPIS led the investigation. Assistant United States Attorneys Dallas Kaplan and Daniel Ryan, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
California Man Pleads Guilty to Drug Traffciking Charge Involving over 200 lbs. of CocaineRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Armando Ernesto Abarca, 22, of Modesto, California, pleaded guilty, before U.S. District Judge Elizabeth A. Wolford, to conspiracy to possess with intent to distribute, and to distribute, five kilograms or more of cocaine. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $10,000,000 fine.
Assistant U.S. Attorney Michael J. Adler, who is handling the case, stated that between September 2014, and September 2016, the defendant conspired with others to possess and distribute cocaine. Specifically, the defendant utilized a storage unit in Amherst, NY to store 43 kilograms of cocaine. The defendant also distributed approximately 50 kilograms of cocaine in Columbus, OH during the course of this conspiracy.
The charges against co-defendant Raul Everado Ledesma Abarca remain pending. The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
The plea is the result of an investigation on the part of the Drug Enforcement Administration, under the direction of Special Agent-in-Charge James J. Hunt, New York Field Division; Immigration and Custom Enforcement, Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; and the Internal Revenue Service, Criminal Investigations Division, under the direction of James D. Robnett, Special Agent-in-Charge, New York Field Office. Additional assistance was provided by ICE-HSI in Los Angeles, California.
Sentencing is scheduled for December 12, 2018, at 11:00 a.m. before Judge Wolford.
CEO and CFO of Utah Biodiesel Company and California Businessman Charged in $500 Million Fuel Tax Credit SchemeRead the Press Release
A federal grand jury sitting in the District of Utah has returned an indictment, which was unsealed today, charging the CEO and CFO of Washakie Renewable Energy (WRE), a Utah-based biodiesel company, and a California businessman with laundering proceeds of a mail fraud scheme, which obtained over $511 million in renewable fuel tax credits from the Internal Revenue Service (IRS), announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division, U.S. Attorney John W. Huber for the District of Utah, Don Fort, Chief of IRS Criminal Investigation and Jessica Taylor, Director of Environmental Protection Agency Criminal Investigation Division.
According to the indictment, Jacob Kingston was Chief Executive Officer and Isaiah Kingston was Chief Financial Officer of WRE and each held a 50% ownership interest in the company. WRE has described itself as the “largest producer of biodiesel and chemicals in the intermountain west.”
Jacob Kingston, Isaiah Kingston, and Lev Aslan Dermen (aka Levon Termendzhyan), owner of California-based fuel company NOIL Energy Group, allegedly schemed to file false claims for renewable fuel tax credits, which caused the IRS to issue over $511 million to WRE. Jacob Kingston is separately charged with filing nine false claims for refund on behalf of WRE in 2013.
The IRS administered tax credits designed to increase the amount of renewable fuel used and produced in the United States. These tax credits were paid by the IRS regardless of whether the taxpayer owed other taxes.
From 2010 through 2016, as part of their fraud to obtain the fuel tax credits, the defendants allegedly created false production records and other paperwork routinely created in qualifying renewable fuel transactions along with other false documents. To make it falsely appear that qualifying fuel transactions were occurring, the defendants rotated products through places in the United States and through at least one foreign country. The defendants also allegedly used “burner phones” and other covert means to communicate during the scheme.
The indictment further charges that the defendants laundered part of the scheme proceeds through a series of financial transactions related to the purchase of a $3 million personal residence for Jacob Kingston. Jacob and Isaiah Kingston are separately alleged to have laundered approximately $1.72 million in scheme proceeds to purchase a 2010 Bugatti Veyron. Jacob Kingston and Lev Aslan Dermen are separately charged with money laundering related to an $11.2 million loan funded by scheme proceeds.
If convicted, the defendants each face a maximum of 10 years in prison for each money laundering count and Jacob Kingston faces a maximum of 3 years in prison for each false tax return count. They also face a period of supervised release, monetary penalties, and restitution.
An indictment is an accusation. The defendants are presumed innocent until proven guilty.
Principal Deputy Assistant Attorney General Richard E. Zuckerman and U.S. Attorney John W. Huber for the District of Utah thanked special agents of IRS-CI, EPA-CID, and the Defense Criminal Investigative Service, who investigated the case, and Trial Attorneys Richard M. Rolwing, Leslie A. Goemaat, Arthur J. Ewenczyk, and Senior Litigation Counsel John E. Sullivan of the Tax Division, who are prosecuting the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
CEO and CFO of Utah Biodiesel Company and California Businessman Charged in $500 Million Fuel Tax Credit SchemeRead the Press Release
SALT LAKE CITY – A federal grand jury sitting in the District of Utah has returned an indictment, which was unsealed today, charging the CEO and CFO of Washakie Renewable Energy (WRE), a Utah-based biodiesel company, and a California businessman with laundering proceeds of a mail fraud scheme, which obtained over $511 million in renewable fuel tax credits from the Internal Revenue Service (IRS), announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division, U.S. Attorney John W. Huber for the District of Utah, Don Fort, Chief of IRS Criminal Investigation and Jessica Taylor, Director of Environmental Protection Agency Criminal Investigation Division.
According to the indictment, Jacob Kingston was Chief Executive Officer and Isaiah Kingston was Chief Financial Officer of WRE and each held a 50% ownership interest in the company. WRE has described itself as the “largest producer of biodiesel and chemicals in the intermountain west.”
Jacob Kingston, Isaiah Kingston, and Lev Aslan Dermen (aka Levon Termendzhyan), owner of California-based fuel company NOIL Energy Group, allegedly schemed to file false claims for renewable fuel tax credits, which caused the IRS to issue over $511 million to WRE. Jacob Kingston is separately charged with filing nine false claims for refund on behalf of WRE in 2013.
The IRS administered tax credits designed to increase the amount of renewable fuel used and produced in the United States. These tax credits were paid by the IRS regardless of whether the taxpayer owed other taxes.
From 2010 through 2016, as part of their fraud to obtain the fuel tax credits, the defendants allegedly created false production records and other paperwork routinely created in qualifying renewable fuel transactions along with other false documents. To make it falsely appear that qualifying fuel transactions were occurring, the defendants rotated products through places in the United States and through at least one foreign country. The defendants also allegedly used “burner phones” and other covert means to communicate during the scheme.
The indictment further charges that the defendants laundered part of the scheme proceeds through a series of financial transactions related to the purchase of a $3 million personal residence for Jacob Kingston. Jacob and Isaiah Kingston are separately alleged to have laundered approximately $1.72 million in scheme proceeds to purchase a 2010 Bugatti Veyron. Jacob Kingston and Lev Aslan Dermen are separately charged with money laundering related to an $11.2 million loan funded by scheme proceeds.
If convicted, the defendants each face a maximum of 10 years in prison for each money laundering count and Jacob Kingston faces a maximum of 3 years in prison for each false tax return count. They also face a period of supervised release, monetary penalties, and restitution.
An indictment is an accusation. The defendants are presumed innocent until proven guilty.Principal Deputy Assistant Attorney General Richard E. Zuckerman and U.S. Attorney John W. Huber for the District of Utah thanked special agents of IRS-CI, EPA-CID, and the Defense Criminal Investigative Service, who investigated the case, and Trial Attorneys Richard M. Rolwing, Leslie A. Goemaat, Arthur J. Ewenczyk, and Senior Litigation Counsel John E. Sullivan of the Tax Division, who are prosecuting the case.
Brooklyn, New York, Man Charged with Distributing Synthetic Drugs, Fentanyl, and Oxycodone over the InternetRead the Press Release
CAMDEN, N.J. – A New York man is scheduled to appear in court today on charges of selling dangerous designer drugs, fentanyl, and oxycodone over the Internet, U.S. Attorney Craig Carpenito announced.
Shadab Chowdhury, 26, of Brooklyn, New York, is charged by complaint with eight counts of distributing and possessing with intent to distribute synthetic cannabinoids; one count of distributing and possessing with intent to distribute fentanyl; and one count of distributing and possessing with intent to distribute oxycodone. He was arrested Aug. 20, 2018, and appeared in Brooklyn federal court. He is scheduled to appear today before U.S. Magistrate Judge Joel Schneider in Camden federal court.
According to documents filed in this case and statements made in court:
Chowdhury allegedly distributed synthetic cannabinoids, fentanyl, and oxycodone over two years by communicating with customers over three Internet websites, two email accounts, and text messages. His customers included undercover law enforcement officers located in New Jersey, New York, Kansas, North Carolina, South Dakota, West Virginia, Georgia, Ohio, Alaska, California, and Virginia.
Chowdhury allegedly arranged and coordinated shipments of synthetic cannabinoids, which he termed “fire” or “spice,” as well as shipments of fentanyl and oxycodone. He also prepared the drugs to make them more potent and negotiated pricing on the drugs. To avoid law enforcement, Chowdhury deliberately misbranded the synthetic cannabinoids and referred to the oxycodone and fentanyl in code. He received payments for his drug shipments via credit card payments, Western Union, direct bank deposit, and cryptocurrency.
Each of the 10 charges in the complaint carries a maximum potential penalty of 20 years in prison and a $1 million fine.
U.S. Attorney Craig Carpenito credited special agents with the Drug Enforcement Administration’s Tactical Diversion Squad in the Camden Resident Office, under the direction of Special Agent in Charge Valerie A. Nickerson, with the investigation leading to today’s arrest.
The charges and allegations in the complaint are merely accusations, and Chowdhury is considered innocent unless and until proven guilty.
The government is represented by Assistant United States Attorney Sara A. Aliabadi of the U.S. Attorney’s Office Criminal Division in Camden.Defense counsel: Christopher O’Malley Esq., Assistant Federal Public Defender, Camden
Braxton County woman admits to drug chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – Rebecca Ann Shaver, of Sutton, West Virginia, has admitted to a drug charge, United States Attorney Bill Powell announced.
Shaver, age 38, pled guilty to one count of “Attempted Possession with Intent to Distribute Methamphetamine.” Shaver admitted to attempting to possess methamphetamine in July 2017 in Braxton County.
Shaver faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Andrew R. Cogar is prosecuting the case on behalf of the government. The Drug Enforcement Administration, The U.S. Postal Inspection Service, the Mon Metro Drug & Violent Crimes Task Force, a HIDTA-funded initiative, and the West Virginia State Police investigated.
Senior U.S. District Judge Irene M. Keeley presided.
Binghamton Man Sentenced for Child Pornography OffensesRead the Press Release
BINGHAMTON, NEW YORK –Roland Kyzer, Jr., age 49, of Binghamton, was sentenced to serve a total of 32 years in federal prison following his conviction for child pornography offenses, announced United States Attorney Grant C. Jaquith and James N. Hendricks, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
Kyzer, a registered sex offender, was serving a term of supervised release for an earlier federal child pornography conviction when U.S. Probation Officers found that he was continuing to download and collect sexually explicit images of children from the Internet. In February 2018, Kyzer was tried before a jury in federal court in Binghamton, and convicted of receiving and possessing child pornography during the entire period of time he was on supervision.
Hon. Thomas J. McAvoy sentenced Kyzer to 27 years imprisonment on the new offenses of receipt and possession of child pornography, with a consecutive sentence of 5 years for violating his conditions of supervised release. Upon release from this term of imprisonment, Kyzer will be under supervision for 20 years, and will continue to be required to register as a sex offender.
This case was investigated by the FBI and the United States Probation Office for the Northern District of New York, and was prosecuted by Assistant U.S. Attorneys Miroslav Lovric and Lisa Fletcher.
August Grand JuryRead the Press Release
United States Attorney Joe Kelly announced the federal Grand Jury for the District of Nebraska has returned 40 indictments charging 40 defendants. Indictments are charging documents that contain one or more individual counts that are merely accusations, and every defendant is presumed innocent unless and until proven guilty.
* Antonio Aguilar Escobar a/k/a Tony Aguilar, age 45, is charged with illegal reentry after deportation on or about July 25, 2018 following an aggravated felony conviction. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* David Bichama-Garcia, age 43, is charged with illegal reentry after deportation following a felony conviction on or about July 31, 2018. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Jose Naveli Bonilla-Manuelas, age 26, is charged with illegal reentry after deportation on or about July 25, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Aaron Jason Burkholder, age 42, is charged with possession with intent to distribute 50 grams or more of methamphetamine (actual) on or about April 5, 2018. The maximum possible penalty if convicted is NLT 20 years NMT Life imprisonment, NMT $20,000,000 fine, NLT 10 year term of supervised release, and a $100 special assessment.
* Roberto Cadena, age 67, of San Bernardino, California, is charged with possession with intent to distribute 500 grams or more of methamphetamine on or about July 25, 2018. The maximum possible penalty if convicted is NLT 10 years NMT Life imprisonment, NMT $10,000,000 fine, NLT 5 year term of supervised release, and a $100 special assessment.
* Ismael Cardoza Amaya, age 33, is charged with illegal reentry after deportation following a felony conviction on or about July 16, 2018. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Demetrio Chilel Lopez a/k/a Heiner Lopez Bartolon, age 26, is charged with illegal reentry after deportation following a felony conviction on or about July 12, 2018. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Miguel Chipuiai-Juarez a/k/a Angel Davila-Ramirez, age 56, is charged with illegal reentry after deportation on or about August 8, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Omar Fernando Contreras Figueroa, age 31, is charged with illegal reentry after deportation following a felony conviction on or about June 8, 2018. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Sean C. Cortez, age 36, of Omaha, is charged in a three Count Indictment. Count I charges the defendant with bank robbery taking $851.00 from First National Bank on or about July 14, 2018. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment. Count II charges the defendant with bank robbery taking $444.00 from U.S. Bank on or about July 13, 2018. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment. Count III charges the defendant with Hobbs Act robbery taking US currency by force from an employee at Phillips 66 Select Mart on or about July 8, 2018. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Arturo Cortes Rojas, age 29, is charged with illegal reentry after deportation on or about July 11, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Phillip Marlowe Donovan, age 32, is charged in a three-count Indictment. Count I charges the defendant with possession with intent to distribute 50 grams or more of methamphetamine on or about July 11, 2018. The maximum possible penalty if convicted is NMT 10 years-NMT Life imprisonment, NMT $10,000,000 fine, NLT 5 year term of supervised release, and a $100 special assessment. Count II charges the defendant with felon in possession of a firearm on or about July 11, 2018. The maximum possible penalty if convicted is NMT 10 years imprisonment, NMT $250,000 fine, NMT a 3 year term of supervised release and $100 special assessment. Count III charges the defendant with commission of a felony while on release on or about July 11, 2018. The maximum possible penalty if convicted is NMT 10 years imprisonment, NMT $250,000 fine, NMT a 3 year term of supervised release and $100 special assessment.
* Jose Ramiro Echeverria Montoya, age 29, is charged with illegal reentry after deportation on or about July 23, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Miguel Espericueta-Vega, age 56, is charged with illegal reentry after deportation on or about August 8, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Gilberto Felix-Aguirre, age 51, is charged with illegal reentry after deportation following a felony conviction on or about August 7, 2018. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Tony C. Flowers, Sr., age 52, of Omaha, is charged with felon in possession of a firearm on or about June 4, 2018. The maximum possible penalty if convicted is NMT 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Antonio Gallardo-Mayo, age 21, is charged with illegal reentry after deportation on or about August 8, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Juan Garcia Martinez a/k/a Mark Anthony Garcia, age 50, is charged with illegal reentry after deportation on or about June 3, 2018 following an aggravated felony conviction. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Walter Garcia Reynoso, age 46, is charged in a two-count Indictment. Count I charges the defendant with illegal reentry after deportation following a felony conviction on or about July 26, 2018. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment. Count II charges the defendant with failure to register as a sex offender on or about July 26, 2018. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 5 year term of supervised release, and a $100 special assessment.
* Zenon Garcia-Reyes, age 31, is charged with illegal reentry after deportation on or about July 19, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Robert Harry Goodman, Jr., age 65, of Arcata, California is charged with interstate trafficking in aid of racketeering between on or about May 6, 2018, and on or about May 9, 2018. The maximum possible penalty if convicted is NMT 5 years imprisonment, NMT $250,000 fine, NMT 3 year term of supervised release, and a $100 special assessment. There is also an allegation to forfeit United States currency seized on or about May 9, 2018.
* Christopher Harper, age 43, is charged in a three-count Indictment. Count I of the Indictment charges the defendant with possession with intent to distribute 5 grams or more of methamphetamine (actual) on or about June 22, 2018. The maximum possible penalty if convicted is 40 years imprisonment, a $5,000,000 fine, 4 year term of supervised release, and a $100 special assessment. Count II of the Indictment charges the defendant with felon in possession of a firearm on or about June 22, 2018. The maximum possible penalty if convicted is 10 years imprisonment, $250,000 fine, a 3 year term of supervised release and $100 special assessment. Count III of the Indictment charges the defendant with use of a firearm during a drug trafficking offense on or about June 22, 2018. The maximum possible penalty if convicted is 5 years-Life consecutive imprisonment, $250,000 fine, a 3 year term of supervised release and $100 special assessment. There is also an allegation to forfeit United States currency seized on or about June 22, 2018.
* Paul Brooks Leetch, age 40, is charged with possession with intent to distribute 50 grams or more of methamphetamine (actual) on or about May 29, 2018. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, NLT 5 year term of supervised release, and a $100 special assessment.
* James Maynard, age 26, is charged in a two-count Indictment. Count I charges the defendant with conspiracy to distribute 50 grams or more of methamphetamine (actual) beginning on or about May 1, 2018 and continuing to on or about July 11, 2018. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, NLT 5 year term of supervised release, and a $100 special assessment. Count II charges the defendant with possession with intent to distribute 50 grams or more of methamphetamine (actual) on or about July 11, 2018. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, NLT 5 year term of supervised release, and a $100 special assessment.
* Diego Mejia-Ortiz, is charged with illegal reentry after deportation on or about August 8, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Ramiro Aguirre Miyamoto, age 23, of Omaha, is charged with possession with intent to distribute 500 grams or more of a mixture or substance containing methamphetamine on or about April 8, 2018. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, NLT 5 year term of supervised release, and a $100 special assessment.
* John Nichols, age 53, of Omaha, and Jesus Vega-Moraila, age 49, of Omaha, are charged in a three-count Indictment. Count I charges Nichols and Vega-Moraila with conspiracy to distribute 500 grams or more of a mixture or substance containing methamphetamine beginning on or about October 1, 2017 and continuing to on or about April 26, 2018. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, NLT 5 year term of supervised release, and a $100 special assessment. Count II charges Nichols with possession with intent to distribute 500 grams or more of a mixture or substance containing methamphetamine on or about March 2, 2018. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, NLT 5 year term of supervised release, and a $100 special assessment. Count III of the Indictment charges Nichols with felon in possession of a firearm on or about March 2, 2018. The maximum possible penalty if convicted is 10 years imprisonment, NMT $250,000 fine, a 3 year term of supervised release and $100 special assessment. There is also an allegation to forfeit United States currency seized on or about March 2, 2018.
* Richard D. Peacock, age 37, of Omaha, is charged in an eleven-count Indictment. Each count charges the defendant with knowingly making false statements while employed at Occupational Safety and Health Administration (OSHA) between January 14, 2015 and March 3, 2016. The maximum possible penalty if convicted is 5 years imprisonment for each count, a $250,000 fine for each count, a 3 year term of supervised release for each count, and a $100 special assessment for each count.
* Garrett Calvin Pete, age 53, of Billings, Montana, is charged with felon in possession of a firearm on or about June 5, 2018. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Carey Dean Phillips, Jr., age 24, of Sioux City, Iowa, is charged with failure to register as a sex offender on or about June 25, 2018. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 5 year term of supervised release, and a $100 special assessment.
* Jesus Ramos Ramos, is charged with illegal reentry after deportation on or about August 8, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Sergio Rodriguez Ruiz, age 31, is charged with illegal reentry after deportation on or about August 7, 2018 following an aggravated felony conviction. The maximum possible penalty if convicted is 20 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Oscar Eulacio Sandoval, age 41, of San Diego, California, is charged with possession with intent to distribute 5 grams or more of methamphetamine (actual) on or about July 5, 2018. The maximum possible penalty if convicted is 40 years imprisonment, $5,000,000 fine, NLT 4 year term of supervised release, and a $100 special assessment.
* Nahum Silva Avila, age 40, of Omaha, is charged with illegal reentry after deportation on or about July 18, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Manuel Solis-Castro, age 44, of Ainsworth, Nebraska, is charged with illegal reentry after deportation on or about August 8, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Rodolfo Tizol Gomez, age 41, is charged with illegal reentry after deportation on or about August 7, 2018. The maximum possible penalty if convicted is 2 years imprisonment, a $250,000 fine, a 1 year term of supervised release, and a $100 special assessment.
* Kristie Trejo, age 44, is charged in a three-count Indictment. Count I charges the defendant with possession with intent to distribute 50 grams or more of methamphetamine (actual) on or about April 30, 2018. The maximum possible penalty if convicted is Life imprisonment, $10,000,000 fine, 5 year term of supervised release, and a $100 special assessment. Count II charges the defendant with distribution of 5 grams or more of methamphetamine (actual) on or about March 13, 2018. The maximum possible penalty if convicted is 40 years imprisonment, $5,000,000 fine, 4 year term of supervised release, and a $100 special assessment. Count III charges the defendant with distribution of 5 grams or more of methamphetamine (actual) on or about March 29, 2018. The maximum possible penalty if convicted is 40 years imprisonment, $5,000,000 fine, 4 year term of supervised release, and a $100 special assessment.
* Augustine Valadez-Briceno, age 36, is charged with illegal reentry after deportation following a felony conviction on or about July 13, 2018. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
* Arildo Vieira De Santana, age 39, of Lincoln, is charged in a two-Count Indictment. Count I charges the defendant with misuse of a social security number on or about July 19, 2018. The maximum possible penalty if convicted is 5 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment. Count II charges the defendant with fraud and misuse of visas & other documents on or about July 19, 2018. The maximum possible penalty if convicted is 10 years imprisonment, a $250,000 fine, a 3 year term of supervised release, and a $100 special assessment.
Assistant U.S. Attorneys receive awards for their work in nationwide drug enforcement actionsRead the Press Release
SAVANNAH – Four assistant United States attorneys who participated in significant civil drug enforcement actions received awards Aug. 22 from the United States Drug Enforcement Administration during a DEA training session in Savannah.
Assistant U.S. Attorneys Tommy Clarkson, Jonathan Porter and Brad Patrick, and Civil Division Chief Shannon Statkus, each received Certificates of Appreciation for Outstanding Contributions in the Field of Drug Law Enforcement from Uttam Dhillon, Acting Administrator of the DEA, and Robert J. Murphy, Special Agent-in-Charge of the DEA’s Atlanta Field Office.
Statkus, Clarkson, Porter and Patrick were recognized for their roles in the National Health Care Fraud Takedown that in June resulted in charges against 601 defendants across 58 federal districts, including 165 doctors, nurses and other licensed medical professionals, for their alleged participation in health care fraud schemes involving more than $2 billion in false billings. These cases included criminal charges and civil penalties against a wide variety of defendants spanning the Southern District of Georgia.
Their work also resulted in the nation’s largest settlement of its kind involving allegations of drug diversion at a hospital when Georgia’s Effingham Health System in May agreed to pay fines of $4.1 million to resolve allegations that hospital staff failed to prevent a significant amount of opioids from being transferred to non-prescribers, and for failing to timely report the suspected diversion to the DEA.
In addition, the four AUSAs were applauded for their work in the civil complaint against Dr. Firoz Patka, of Martinez, Ga., that resulted in a default judgment in July in United States District Court for the Southern District of Georgia of $1.2 million in penalties. Patka received the judgment when he failed to answer complaints alleging he violated the Controlled Substances Act by pre-signing subscriptions for opioids and other controlled substances at his offices in Louisville, Ga.; Hephzibah, Ga.; and Thomasville, Ga.
“The outstanding work of our staff in combatting fraud and prescription drug abuse helps to protect the public from the scourge of crime and addiction,” said U.S. Attorney Bobby L. Christine. “We’re proud of Shannon, Tom, Jonathan and Brad for their outstanding work, and appreciate this welcome recognition from our partners at the DEA.”
Photo, left-right: USA Bobby L. Christine, AUSA Tommy Clarkson, Drug Enforcement Administration Acting Administrator Uttam Dhillon, AUSA Jonathan Porter, AUSA Brad Patrick, and DEA Atlanta Special Agent-in-Charge Robert J. Murphy. Not pictured: AUSA Shannon Statkus, Southern District Civil Division Chief.Army Captain Indicted on Charges of Enticement of a Minor to Engage in Unlawful Sexual Activity and Transferring Obscene Material to a MinorRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted Kevin J. Gorbsky, age 32, of Bowie, Maryland, on five counts of enticement of a minor to engage in unlawful sexual activity and one count of transferring obscene material to a minor. The indictment was returned on August 23, 2018, and unsealed today.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Gordon B. Johnson of the Federal Bureau of Investigation, Baltimore Field Office; and Commanding General David P. Glaser of the U.S. Army Criminal Investigation Command.
According to the six-count indictment, Gorbsky was a Captain in the United States Army, stationed in Kuwait and in Anne Arundel County, Maryland, where he was assigned to work at a secure facility. Gorbsky created and used e-mail accounts “Justin Smelder” and “John Bbeez,” and a social media account, “johnbeez66.” Beginning in October 2015 and continuing through at least January 8, 2018, Gorbsky used those accounts to engage in online chat with hundreds of other users, many of whom identified themselves as minors between 12 and 17 years old. Gorbsky told many of the individuals he chatted with that he was 19 years old, when in fact, he was between 28 and 31 years old. Gorbsky’s chats with the users were sexually explicit. Gorbsky repeatedly persuaded, enticed, and coerced the other users to send him sexually explicit images and to engage in sexually explicit video chat with him. Gorbsky sent many of the users sexually explicit images and videos of himself. On numerous occasions, Gorbsky accessed his accounts and engaged in sexually explicit chats using the unclassified computer system at his workplace.
Specifically, the indictment alleges that from September 22, 2017 through January 3, 2018, Gorbsky engaged in sexually explicit communications with a girl who said she was 12 years old, including during times the girl stated she was in school. Gorbsky repeatedly asked the girl for sexually explicit images and to engage in sexually explicit video chat with him. On October 26, 2017, Gorbsky e-mailed a sexually explicit video of himself to the girl. The indictment alleges that Gorbsky also engaged in sexually explicit chat with four other girls who stated in their chats that they were ages 13, 17, 17, and 15, respectively. Gorbsky repeatedly asked the girls to send him sexually explicit images of themselves and to engage in sexually explicit video chat with him. Gorbsky also e-mailed sexually explicit videos of himself to one of the girls who said she was 17 years old.
If convicted, Gorbsky faces a mandatory minimum of 10 years and up to life in prison for each count of enticement of a minor to engage in unlawful sexual activity, and a maximum of 10 years in prison and a $250,000 fine for transfer of obscene material to a minor. Gorbsky is scheduled to have an initial appearance before U.S. Magistrate Judge J. Mark Coulson on August 27, 2018, at 3:00 p.m. in U.S. District Court in Baltimore.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Robert K. Hur commended the FBI and Army CID for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Zachary A. Myers and Derek E. Hines, who are prosecuting the federal case.
Andersen Pleads Guilty to Defacing Corona Arch; Agrees to Pay Fine and Restitution to BLMRead the Press Release
SALT LAKE CITY – Ryan Bird Andersen, age 45, of Idaho Falls, Idaho, pleaded guilty to a one-count misdemeanor information Thursday charging him with defacing a natural feature – the Corona Arch – by scratching graffiti into the rock. U.S. Magistrate Judge Dustin Pead presided at the hearing in U.S. District Court.
As a part of the plea agreement, Andersen agreed to pay the maximum fine of $1,000, full restitution of $858.32 to the Bureau of Land Management, and a processing fee of $30. Andersen also agreed to release a statement advocating the responsible use of public lands as a part of the plea agreement. (A copy of the statement is attached to this release.)
“Mr. Andersen’s conduct was troubling to us and anyone who values Utah’s beautiful public lands. People travel from around the world to visit these spectacular resources. Mr. Andersen learned a valuable lesson from this prosecution. As he writes in his statement, we hope others can learn from his mistakes and always act responsibly with our natural treasures,” U.S Attorney John W. Huber said today.
Andersen’s guilty plea will be held in abeyance for a period of 18 months. During that period, the defendant is prohibited from entering or using any public land administered by the BLM, the National Park Service, the U.S. Forest Service, the U.S. Fish and Wildlife Service, the Bureau of Reclamation, and the Army Corps of Engineers. The defendant can use public roads traversing public lands for necessary travel.
August 23, 2018
Dear Friends and Concerned Citizens,
I want you all to know that I have reached an agreement with the government to account for my actions last spring at the Corona Arch in southern Utah. With that agreement I have accepted responsibility for my conduct and have agreed to pay a fine and full restitution to address the damage caused to the arch.
Although I have resolved my case with the government, I will remain committed to helping ensure that our public lands remain pristine. In the future, I hope that others can learn from my mistakes and always act responsibly with our natural treasures.
Sincerely,
Ryan Andersen
Thursday 23 August 2018
West Palm Beach Return Preparer Charged with Filing False Tax Returns with the IRSRead the Press Release
A West Palm Beach return preparer was charged by indictment with filing false tax returns with the IRS.
Benjamin G. Greenberg, United States Attorney for the Southern District of Florida, and Michael J. De Palma, Acting Special Agent in Charge, Internal Revenue Service (IRS-CI), made the announcement.
Tamara Jeune, a/k/a Tamara Voltaire, was charged by indictment with one count of conspiracy to defraud the government with respect to claims, in violation of Title 18, United States Code, Section 286; four counts of claiming false tax refunds, in violation of Title 18, United States Code, Section 287; and five counts of aiding in the preparation of false tax returns, in violation of Title 26, United States Code, Section 7206(2).
According to the indictment, Jeune obtained four different Employee Identification Filing Numbers (EFINs) for different businesses. The EFINs allowed the businesses to submit tax returns electronically in the names of other individuals. The defendant worked as a tax preparer at one of the businesses in Miami-Dade County, Investment Equity Development, Inc., and managed others at this location. Jeune prepared, filed, and oversaw the preparation and filing of fraudulent federal income tax returns with false IRS Forms for her clients for the 2012 through 2014 tax years. As a result of this scheme, the IRS paid approximately $700,000 in tax refunds related to the fraudulent tax returns, and Jeune often diverted her clients' tax refunds to bank accounts that she controlled.
An indictment is merely an allegation and a defendant is presumed innocent until proven guilty in a court of law.
Mr. Greenberg commended the investigative efforts of IRS-CI in connection with this matter. This case is being prosecuted by Assistant U.S. Attorney Roger Cruz.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Vian Man Pleads Guilty to Attempted Sexual Abuse of MinorRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Donald Lee Blackbird, age 59, of Vian, Oklahoma, entered a guilty plea to Attempted Sexual Abuse Of A Minor, in violation of Title 18, United States Code, Sections 1153, 2243(a) and 2246, punishable by not more than 15 years imprisonment, up to a $250,000.00 fine, or both.
The Indictment alleged that on or about April 3, 2018, in the Eastern District of Oklahoma, in Indian Country on an allotment, the title to which had not yet been extinguished, the defendant, an Indian, did knowingly attempt to engage in a sexual act as defined in Title 18, United States Code, Section 2246(2), with S.B., a person who has attained the age of 12 years, but has not attained the age of 16 years and was at least four years younger than defendant, with an intent to arouse or gratify the sexual desire of any person.
The charges arose from an investigation by the Cherokee Nation Marshal Service and the Federal Bureau of Investigation.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Kristin Harrington represented the United States.
U.S. Attorney and Shasta County District Attorney Join Forces to Warn Against Wildfire-Related Disaster FraudRead the Press Release
REDDING, Calif. — U.S. Attorney McGregor W. Scott and Shasta County District Attorney Stephanie A. Bridgett joined forces today to raise public awareness of the potential for fraud in the wake of the wildfires currently plaguing Northern California. The public is urged to be vigilant in reporting suspected fraudulent activity relating to recovery and cleanup operations, fake charities claiming to provide relief for victims, individuals submitting false claims for disaster relief, and any other disaster fraud related activity.
U.S. Attorney Scott stated: “While most people respond to tragic events like the Carr Fire with compassion and generosity, others take advantage of such disasters to fraudulently enrich themselves. I strongly encourage the public to report any suspected fraudulent activity occurring in the aftermath of our state’s devastating wildfires. With the combined resources of federal and local law enforcement, we will aggressively pursue and prosecute fraud and abuse.”
Shasta County DA Bridgett stated: “Since the day the Carr Fire blew into our community we have been working with our local, state and federal law enforcement partners to ensure you are not further victimized by fraud. We believe these cases are a priority and will ensure maximum resources are directed to the investigation and prosecution of each offender.”
The U.S. Department of Justice established the National Center for Disaster Fraud (NCDF) to investigate, prosecute, and deter fraud in the wake of Hurricane Katrina, when billions of dollars in federal disaster relief poured into the Gulf Coast region. Its mission has expanded to include suspected fraud from any natural or manmade disaster. More than 20 federal, state, and local agencies participate in the NCDF, which allows the center to act as a centralized clearinghouse of information related to disaster relief fraud.
Members of the public are reminded to apply a critical eye and do their due diligence before trusting anyone purporting to be working on behalf of disaster victims, and to be especially cautious of anyone who contacts you seeking personal identifying information or financial information. Members of the public who suspect fraud involving disaster relief efforts, or who believe that they have been the victim of fraud from a person or organization soliciting relief funds on behalf of disaster victims, should contact the National Disaster Fraud Hotline toll free at (866) 720-5721. The telephone line is staffed by a live operator 24 hours a day, 7 days a week. You can also fax information to the Center at (225) 334-4707, or email it to [email protected]. Learn more about the NCDF at www.justice.gov/disaster-fraud and watch a public service announcement here.
U.S. Attorney Participates in 2018 Violence Against Women Tribal Consultation in Sioux Falls, S.D.Read the Press Release
SIOUX FALLS, SD – United States Attorney Ron Parsons joined Acting Associate Attorney General Jesse Panuccio and Office on Violence Against Women’s (OVW) Acting Director Katherine Sullivan at the 13th Annual Conference on Violence Against Women Tribal Consultation held at the Sioux Falls Convention Center on August 21-22, 2018.
The purpose of this annual Government-to-Government conference is to solicit recommendations from tribal leaders on enhancing safety and strengthening federal law enforcement efforts to the crimes of domestic violence, dating violence, sexual assault, stalking and sex trafficking of American Indian and Alaskan Native women, and administering funds and programs for tribal governments established by the Violence Against Women Act (VAWA) and subsequent legislation.
The conference was hosted by the Great Plains Tribal Chairman’s Association. The U.S. Departments of Justice, Health and Human Services and the Interior, and tribal leaders of federally-recognized Indian Tribes from across the nation participated in the two-day event focused on federal administration of tribal funds and programs established under VAWA.
The conference opened with a call to order by Sherriann Moore (Rosebud Sicangu’ Lakota), Deputy Director of Tribal Affairs for OVW. The Color Guard was presented by the Flandreau Veteran’s Association Color Guard, staffed by Sam Allen. Roxanne Sazue, former Chairwoman of the Crow Creek Tribe, offered a traditional blessing with drums presented by “Rising Hail,” led by Allen Hare of the Yankton Sioux Tribe. The Native Women’s Society of the Great Plains then performed a Shawl Ceremony to honor victims of violence and abuse.
Oglala Sioux Tribe Vice-President Darla Black and Flandreau Santee Sioux Tribe President Anthony Reider each addressed the conference with opening remarks. OVC Acting Director Sullivan then introduced Acting Associate Attorney General Panuccio, who delivered the keynote address. Other Tribal leaders who provided testimony included Roxanne Sazue, former Chairwoman of the Crow Creek Sioux Tribe; Lydia Bear Killer, Council Member of the Oglala Sioux Tribe; and Lois Owens, Council Member of the Sisseton Wahpeton Oyate of the Lake Traverse Indian Reservation.
Assistant United States Attorney Troy Morley, who is the Tribal Liaison for the District of South Dakota, and Victim Witness Coordinator Marlys Big Eagle also attended the conference on behalf of the District of South Dakota.
Domestic violence and sexual assault are crimes that affect every community, but, tragically, Native women face higher rates of domestic violence, sexual assault, and domestic violence homicide than almost any other group. A 2016 National Institute for Justice study concluded that more than half of all Native women have experienced sexual violence and physical violence by an intimate partner. All too often, these instances of violence are part of an escalating cycle, culminating in alarming homicide rates for Native women.
Many in attendance at the conference wore red to commemorate, honor, and raise awareness about missing and murdered Native women. The voices of these women may have been silenced, but their memory should serve as a call to action. These women deserve to be honored and remembered, but they also deserve more: they deserve action.
The Department of Justice is resolute in its commitment to helping ameliorate this crisis. It does so in two principal ways. First, federal prosecutors are working every day to bring domestic violence offenders to justice. Second, through our grant programs, we are helping victims with a full range of services and support.
“This was an incredible opportunity to listen to and learn from tribal leaders and citizens from across the country who are leading the fight against domestic violence and abuse of all kinds in Native American communities,” said U.S. Attorney Parsons. “Their testimony was moving and profound. I am honored and humbled to have heard these direct accounts of the struggles and challenges that Native American communities are facing in seeking justice for domestic violence victims.”
Two Las Vegans Charged for Stealing over 300 Firearms from Trailer Parked at Henderson CasinoRead the Press Release
LAS VEGAS, Nev. – Two individuals had their initial court appearances today on charges related to the theft of more than 300 firearms inside a trailer belonging to a Federal Firearms Licensee, announced U.S. Attorney Dayle Elieson for the District of Nevada and Special Agent in Charge Jill Snyder for the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Samual Lane Donesing, 28, and Jaemillah Eagans, 26, both of Las Vegas, were indicted with one count of possession of stolen firearms. Donesing is also charged with one count of felon in possession of a firearm. They appeared before U.S. Magistrate Judge Nancy Koppe and pleaded not guilty to the charges. A jury trial is scheduled before U.S. District Judge Richard F. Boulware II on October 15, 2018.
According to allegations in the complaint and indictment, on July 31, 2018, Donesing and Eagans, stole a truck and trailer containing more than 300 firearms along with ammunition and firearms accessories such as holsters and magazines. The truck and trailer were parked at the Fiesta Henderson Hotel and Casino and belonged to a Federal Firearms Licensee from Arizona. Law enforcement identified the defendants as suspects after hotel surveillance footage showed them driving away with the stolen truck and trailer. During an interview with law enforcement, Donesing and Eagans admitted to stealing the truck and trailer containing the firearms.
Donesing, a felon, is also charged with illegal possession of a firearm. He has four prior felony convictions in Clark County including forgery, possession of a stolen vehicle, grand larceny, and burglary.
If convicted, the maximum penalty is 10 years in prison and a $250,000 fine for each count.
The public is reminded that an indictment contains only a charge and is not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government has the burden of proving their guilt beyond a reasonable doubt.
The case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives with assistance from the Henderson Police Department and Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Linda Mott is prosecuting the case.
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Two Duval County Men Indicted on Counterfeit Currency ChargesRead the Press Release
Jacksonville, Florida – A federal grand jury has returned an indictment charging Steven Timothy Jolly (40) and Eric Mark Hamilton (34), both of Jacksonville, with manufacturing counterfeit Federal Reserve notes and possessing counterfeit Federal Reserve notes. If convicted, Jolly and Hamilton each face a maximum penalty of 20 years in federal prison on each count.
Jolly made his initial appearance on August 15, 2018, and was detained on August 21, 2018. His trial is set for October 1, 2018. Hamilton will make his initial appearance in federal court on August 28, 2018.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by U.S. Secret Service - Jacksonville Field Office and the Jacksonville Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Kevin C. Frein.
Texas Woman Pleads Guilty to Conspiracy to Distribute MethamphetamineRead the Press Release
Jackson, Miss. – Arlene Viridiana Moya, 23, of Texas, pled guilty today before U.S. District Judge William H. Barbour to conspiracy to possess with intent to distribute methamphetamine, announced U.S. Attorney Mike Hurst and Special Agent in Charge Jere T. Miles of Immigration and Customs Enforcement’s Homeland Security Investigations New Orleans Field Office.
On January 22, 2018, a Rankin County Sheriff’s Deputy stopped a vehicle driven by Moya for a traffic violation. A search of the vehicle resulted in the seizure of approximately 16 kilograms or 35 pounds of methamphetamine from the vehicle’s fuel tank.
Moya will be sentenced by Judge Barbour on November 27, 2018, at 10:00 a.m. and faces a maximum penalty of life in prison followed by a $10,000,000 fine.
The case was a joint investigation by the Rankin County Sherriff’s Office, and the U.S. Immigration and Customs Enforcement, Homeland Security Investigations (ICE/HSI) Jackson, MS office, and prosecuted by Assistant United States Attorney Chris Wansley.
Stoughton Man Sentenced to 21 Years in Federal Prison for Kidnapping and Drug ChargesRead the Press Release
BOSTON – A Stoughton man was sentenced today in federal court in Boston to 21 years in prison on kidnapping and drug charges.
Sedrick Oliveira, 26, was sentenced by U.S. District Court Chief Judge Patti B. Saris to 21 years in prison and five years of supervised release. In March 2018, Oliveira pleaded guilty to kidnapping and conspiracy to distribute fentanyl, cocaine, and oxycodone after being arrested in October 2016. Malik Bangura, 20, of Taunton; Diego Pires, 25, of Brockton; and Yesenia Diaz, 23, of Brockton, were also charged with kidnapping.
On Oct. 8, 2016, at approximately 10:25 p.m., a 30-year-old man was kidnapped from the driveway of his Quincy home after being struck in the head with a revolver as he got out of his truck, and dragged into a nearby sedan. The victim had two children strapped into their car seats in his truck.
Once the victim was in the sedan, two masked perpetrators, later identified as Pires and Bangura, drove the victim’s truck, with the children inside, to a secluded location where they unloaded approximately 30 pounds of marijuana and $20,000 from the victim’s truck, into the sedan. The victim, who was face-down in the backseat of the sedan at gunpoint, begged for his life and the life of the two children who were still in their car seats in the back of the truck.
Diaz, Bangura, Pires and Oliveira then drove the sedan with the drugs, cash and the victim, from Quincy to Brockton and called the victim’s wife demanding $100,000. Law enforcement officers spotted the sedan as it drove through Brockton, recognized the vehicle from a drive-by shooting that occurred in August 2016, and began to follow it. After the defendants recognized the police, they attempted to flee, but ultimately abandoned the sedan in a Brockton driveway. The victim escaped, flagged down law enforcement officers, and described to them the secluded location where the truck had been disserted. Law enforcement located the truck with the children inside, who were unharmed.
Diaz was subsequently found standing by the sedan and arrested for kidnapping. She previously pleaded guilty and is awaiting sentencing. Oliveira was arrested several days later on a federal complaint charging him with federal drug offenses following the sales of fentanyl, cocaine and oxycodone to an individual cooperating with law enforcement. Oliveira, Pires, and Bangura were charged with the kidnapping in April 2017. Bangura pleaded guilty and, on Jan. 24, 2018, was sentenced to 204 months in prison. Pires also pleaded guilty and was sentenced on Aug. 16, 2018, to 210 months in prison.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Mickey D. Leadingham, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Brockton Police Chief John Crowley; and Quincy Police Chief Paul Keenan made the announcement today. Assistant U.S. Attorney Emily O. Cannon of Lelling’s Organized Crime and Gang Unit prosecuted the case.
Stolen U-Haul, AR-15, and Counterfeit MoneyRead the Press Release
St. Louis, MO – Antwan Crossland, 21, of St. Louis, Missouri, pleaded guilty to possessing counterfeit currency. Crossland appeared this afternoon before United States District Court Judge Henry E. Autrey. Sentencing is set for November 28, 2018.
On September 20, 2017, Antwan Crossland was stopped by officers with the St. Peters Police Department driving a stolen U-Haul truck. The officers found an AR15 rifle in his lap, counterfeit United States Currency, and a driver’s license in the name of another individual.
Prior to the stop by the police officers, Crossland had driven Desiree Hill and another individual to a local retailer, and instructed them to purchase a television with the money he provided. Store personnel refused the transaction when they realized the money was counterfeit. Their alert to the St. Peters Police Department resulted in the vehicle stop.
Desiree Hill was sentenced on June 1, 2018 to a six month term of incarceration after pleading guilty to making false statements to law enforcement officials. The false statements arose when Hill lied as to the source of the counterfeit currency she attempted to pass at Crossland’s behest.
The counterfeit currency found was less than $1,500.00.
Possessing counterfeit currency carries a penalty of not more than ten years in prison and/or a fine of $250,000 or both.
The case was investigated by the United States Secret Service and the St. Peters Police Department. Assistant U.S. Attorney Tracy Berry is handling the case for the government.
Statement from U.S. Attorney Bobby L. Christine Regarding Sentencing for Reality WinnerRead the Press Release
AUGUSTA, GA: The sentence rendered today is the longest received by a defendant for an unauthorized disclosure of national defense information to the media. It appropriately satisfies the need for both punishment and deterrence in light of the nature and seriousness of the offense.
When Reality Winner committed her crime, she was employed as a contractor at a National Security Agency facility in the Southern District of Georgia. She held a TOP SECRET/SCI security clearance, had access to classified information, had signed multiple nondisclosure agreements, and plainly abused her position of trust.
Winner was well-trained in the proper handling of classified intelligence and knew the damage that unauthorized disclosures could cause to our national security. She knew that the unauthorized removal of classified materials and transportation and storage of these materials in unauthorized locations risked disclosure and transmission of those materials. In particular, she knew that the unauthorized disclosure of information classified TOP SECRET, which is the highest classification level, reasonably could be expected to cause exceptionally grave damage to the national security of the United States, and that violation of rules governing the handling of classified information could result in criminal prosecution.
With this knowledge, Winner searched for, identified, and printed an intelligence report, which was classified at the TOP SECRET/SCI level and contained national defense information. The information in the report was unrelated to Winner’s job duties, and she did not possess a “need to know.” Nevertheless, Winner removed the report from its authorized location and put it in a mailbox in an envelope addressed to a news agency. In so doing, she knowingly and intentionally betrayed the trust of her colleagues and her country.
Make no mistake: THIS WAS NOT A VICTIMLESS CRIME. Winner’s purposeful violation put our nation’s security at risk. Not in a speculative or hypothetical way, but in a very real, very direct way. The Intelligence Report that Winner disclosed described intelligence activities by a foreign government directed at targets within the United States. When asked by the FBI, Winner stated that she knew the Intelligence Report revealed “sources and methods” used by U.S. intelligence agencies, and she knew that compromising those sources and methods could be valuable to our adversaries and damaging to the United States. Despite this knowledge, Winner said she intended for a news agency to publish the contents of the Intelligence Report.
The document Winner compromised did, in fact, contain TOP SECRET information about the sources and methods used to acquire the intelligence described in the report. That means it revealed how U.S. Intelligence Agencies obtained information. U.S. Government subject matter experts have determined that Winner’s willful, purposeful disclosure caused exceptionally grave damage to U.S. national security. That harm included, but was not limited to, impairing the ability of the United States to acquire foreign intelligence information similar to the information the defendant disclosed. This was, by no means, a victimless crime.
What’s more, Winner’s exceptionally damaging disclosure was not a spontaneous, unplanned event, but was the calculated culmination of a series of acts. She researched whether it was possible to insert a thumb drive into a Top Secret computer without being detected, and then inserted a thumb drive, WHICH THE GOVERNMENT NEVER RECOVERED, into a Top Secret computer. She researched job opportunities that would provide her access to classified information. At the same time, she searched for information about anti-secrecy organizations, and she celebrated claimed compromises in U.S. classified information.
Approximately eight days before she started work as a contractor with a security clearance, Winner installed sophisticated software tools on her computer designed to render her internet activity anonymous and untraceable. Two days before starting work, Winner captured an image of a webpage listing eight “securedrop” addresses for media outlets seeking leaked information. Then, her first day on the job, she sent messages mocking her security training. On that same day, Winner signed a non-disclosure agreement with the government in which she promised to keep secret classified information, and attested she was accepting this responsibility “…without any mental reservation or purpose of evasion.” Yet, she wrote shortly thereafter that she was “#gonnafail” her polygraph examination when asked if she had “ever plotted against” the government. She claimed to hate America. When asked, “…you don’t actually hate America, right?” she responded, “I mean yeah I do its literally the worst thing to happen on the planet.”
She was the quintessential example of an insider threat.
Resolving this case with a plea agreement involving a lengthy prison sentence is the best resolution for the United States. The United States has to balance the need for prosecution with the damage that further disclosure of classified information at trial might cause. Proving the government’s case at trial would require the government to declassify or risk disclosure of TOP SECRET//SCI information. This plea affords the government a substantial benefit in protecting from disclosure information that is still classified. The FBI and members of the Intelligence Community affected by Winner’s treachery and betrayal have concurred in this judgement.
This sentence also promotes respect for the law and affords deterrence to similar criminal conduct in the future. Winner will serve a term of incarceration that will give pause to others who are entrusted with our country’s sensitive national security information and would consider compromising it. Anyone else who may think of committing such an egregious and damaging wrong should think both of the prison sentence imposed today and the very real damage done, and we sincerely hope that they will stay true to their oath and maintain the secrets with which their nation has entrusted them.
The brave men and women who have volunteered – without mental reservation or purpose of evasion - to serve at sensitive government facilities continue to have our trust, faith and confidence. Their loyalty to our nation is manifest each day in the form of our safety and security. My dedication to those professionals and those principles is unwavering, and the Justice Department will continue to prosecute and bring long sentences to those who would betray their oath and jeopardize our nation’s safety.
For any questions, please contact the United States Attorney’s Office at (912) 652-4422.
South Florida Pharmacy Owner and Miami Gardens Couple Pleaded Guilty to Conspiracy to Illegally Distribute Hydromorphone and Oxycodone in North FloridaRead the Press Release
PENSACOLA, FLORIDA – Joseph Owusu, 63, of Tampa, Abbisina Hepburn, 39, and Damian Hepburn, 41, both of Miami Gardens, pleaded guilty on August 17 and August 10, respectively, to conspiracy to distribute and possess with intent to distribute hydromorphone (Dilaudid) and oxycodone. Additionally, the Hepburns pleaded guilty to substantive counts of illegal distribution of hydromorphone. The guilty pleas were announced by Christopher P. Canova, United States Attorney for the Northern District of Florida.
Beginning in or about October 2015, Abbisina Hepburn and Damian Hepburn began presenting fraudulent prescriptions for hydromorphone and oxycodone to Owusu and an employee at Jares Pharmacy, which was located in Sebring, Florida. The prescriptions presented were allegedly issued by a Hialeah doctor of osteopathy, to individuals other than Abbisina and Damian Hepburn. Owusu owned Jares Pharmacy, and was also the licensed pharmacist at Jares Pharmacy. Owusu and a Jares pharmacy employee charged the Hepburns $9.00 per tablet. After receiving the hydromorphone and oxycodone pills, the Hepburns traveled to the Northern District of Florida and elsewhere to sell the pills to third parties for a profit. During the course of his guilty plea, Owusu acknowledged that he dispensed the drugs in violation of federal law.
For the conspiracy charge, Owusu faces a maximum of 20 years in prison. The Hepburns face a maximum of 30 years in prison for the conspiracy count and each of the substantive distribution counts due to their prior felony drug convictions. As a part of his guilty plea, Owusu agreed to voluntarily surrender his Drug Enforcement Administration (“DEA”) registration (license) to the DEA, and his pharmacist license and the Jares Pharmacy license to the State of Florida.
Owusu is scheduled to be sentenced on October 30, and the Hepburns are scheduled to be sentenced on October 25 at the U.S. Courthouse in Pensacola.
The case was investigated by the Florida Department of Law Enforcement, with assistance by the DEA Diversion Division, and the DEA. It was prosecuted by Assistant U.S. Attorney Tiffany H. Eggers.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access available public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Sixteen Treasure Valley Residents Indicted in Federal CourtRead the Press Release
BOISE – A multi-faceted, large-scale Organized Crime and Drug Enforcement Task Force (OCDETF) investigation has resulted in the federal indictment of sixteen defendants on drug trafficking, fraud, money laundering and counterfeit goods trafficking charges, U.S. Attorney Bart M. Davis announced. The indictments were issued last week by a federal grand jury sitting in Boise.
The grand jury returned a thirty-four count indictment charging Pavel Babichenko, Gennady Babitchenko, Piotr Babichenko, Timofey Babichenko, Kristina Babichenko, Natalya Babichenko, David Bibikov, Anna Iyerusalimets, Mikhail Iyerusalimets and Artur Pupko with conspiracy to commit wire fraud, mail fraud, conspiracy to traffic in counterfeit trademarked goods and money laundering conspiracy, all in connection with the online sale of counterfeit cellphones and accessories.
According to the indictment, the ten defendants operated a multi-million dollar scheme wherein they sold counterfeit cellphones and cellphone accessories on Amazon.com and eBay.com that the defendants misrepresented as new and genuine Apple and Samsung products. The indictment alleges that these counterfeit cellphones and cellphone accessories were obtained in bulk from manufacturers in Hong Kong, repackaged in the Treasure Valley, and then individually resold to consumers online as genuine and new. The indictment also alleges the defendants laundered millions of dollars in proceeds from the fraudulent scheme.
If convicted, the defendants face up to 20 years’ imprisonment and a $250,000 fine on the money laundering, wire fraud, and mail fraud counts. They face up to 10 years’ imprisonment and a $5,000,000 fine on the counterfeit trademark goods trafficking counts. Reference is made to the indictment and court record for further information. Additionally, anyone who believes they may be a victim may visit the Department of Justice’s large case website for more information: www.justice.gov/largecases.
In a separate series of cases stemming from the same OCDETF investigation, the grand jury returned six indictments charging six persons with violations of the Controlled Substances Act:
- Tetyana Vasilevna Andriychuk, distributing heroin;
- Jeffrey Scott Davis, distributing methamphetamine;
- Pavel Matlashevsky, two counts of distributing heroin;
- Alexandr Stricharskiy, three counts of distributing methamphetamine;
- Sergey Zagorodny, distributing cocaine and sale of a firearm to a prohibited person; and,
- Vadim N. Dmitruk, possession with intent to distribute heroin.
Drug distribution charges carry mandatory minimum prison sentences depending on the amount and type of drugs distributed. Maximum prison sentences range from up to 20 years all the way to life. The OCDETF investigation also included several other persons who were charged earlier with violations of the Controlled Substances Act:
- James Peirsol pleaded guilty to distributing methamphetamine and was sentenced to 200 months in prison on October 19, 2017;
- Blake Anthony Vanhoff pleaded guilty to distributing methamphetamine and was sentenced to 66 months in prison on November 14, 2017;
- David Lon Rose pleaded guilty to distributing methamphetamine and was sentenced to 24 months in prison December 7, 2017; and,
- David Duane Gudgel pleaded guilty to distributing methamphetamine and possession of a firearm in furtherance of a drug trafficking crime and was sentenced to 210 months in prison on May 2, 2018.
"Combatting transnational organized crime is one of the FBI's top priorities, and these cases demonstrate that the FBI remains committed to holding accountable all those who attempt to defraud U.S. citizens and U.S. companies, distribute illegal drugs, or conduct illegal activity simply to enrich themselves,” said FBI Special Agent in Charge Eric Barnhart. "From the arrests, to the millions of dollars in assets forfeited, the law enforcement agencies who participated in this investigation were able to deliver a decisive blow to these criminal enterprises because of the excellent, collaborative, working relationships that exist here in Idaho, and our strong international partnerships with law enforcement around the world. Thank you to everyone who worked tirelessly over the last four years to secure these indictments and arrests."
“Counterfeit products pose serious safety risks as they are often unregulated during manufacturing,” said Brad Bench, Special Agent in Charge of Homeland Security Investigations (HSI) Seattle. “This investigation represents HSIs commitment to protecting the public from criminals who are profiting to the detriment of their consumers.”
“The priority of the United States Postal Inspection Service is to investigate any crimes in which the U.S. Mail is utilized even if the scheme originally started over the phone or through the internet,” said United States Postal Inspection Service, Inspector in Charge Tony Galetti. “Our mission is to protect customers, business partners, and the Postal Service from illicit use of the mail. We will continue efforts to ensure the integrity and security of the United States Postal System and to hold accountable those who unlawfully take advantage of the Postal System. We would like to thank the United States Attorney’s Office for the District of Idaho for their incredible prosecutorial support throughout the course of this investigation. We also want to thank our federal law enforcement partners as well as our state and local partners for their dedication and collaborative efforts. The federal government is dedicated to dismantling sophisticated mail fraud schemes and the importation of counterfeit goods.”
“The United States Attorney’s Office is committed to the comprehensive investigation and prosecution of criminal activity that is harmful to our country, communities, and members of our society, all of whom we are sworn to protect,” said U.S. Attorney Bart Davis. “The dedicated women and men of my office have always, and will always, seek to hold accountable those who engage in fraud and illegal drug trafficking. These prosecutions demonstrate our commitment to prosecuting those who seek to profit at the expense of others, be it by fraudulent conduct or selling harmful, illegal drugs to others. In addition, the type of fraud involved here hurts not only the thousands of unsuspecting consumers who purchased counterfeit goods, but also the company – the trademark holders. Counterfeited products degrade the goodwill of the trademark holders, deceive consumers, and pose a serious safety risk to the community.”
These indictments are the result of a joint investigation by the Organized Crime and Drug Enforcement Task Force comprised of the Federal Bureau of Investigation, Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, Immigration and Customs Enforcement Homeland Security Investigations, Internal Revenue Service and United States Marshals Service. These federal agencies were joined in the investigation by the United States Postal Inspection Service, National Insurance Crime Bureau, U.S. Customs and Border Protection, Hong Kong Police Force, Boise Police Department, Meridian Police Department, Nampa Police Department and the Idaho State Police.
An indictment is merely an allegation and the defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt.
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Six Men Charged with Violations of Federal Gun Control Act and Federal Narcotics Laws in Twenty-Two Count IndictmentRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that TERRANCE MORGAN, age 25, of New Orleans, RICHARD GREEN, a/k/a “Blue,” a/k/a “Bam,” age 28, of New Orleans, KENDALL CELESTINE, age 20, of New Orleans, and ERIC ROBINSON, age 26, of New Orleans, MARVIN ARMSTRONG, age 52, of New Orleans and PATRICK SCHEXNAYDER, a/k/a “Pat,” a/k/a “Red,” age 27, of New Orleans, were indicted on August 23rd by a federal grand jury.
The charging document alleges that, MORGAN, GREEN, CELESTINE, ROBINSON, ARMSTRONG, and SCHEXNAYDER conspired to distribute heroin between at least June 2014, and July 11, 2018. MORGAN, GREEN, CELESTINE, ROBINSON, and SCHEXNAYDER were charged with conspiring to distribute 100 grams or more of heroin. If convicted of this charge, each defendant faces a term of imprisonment of 5 to 40 years, a fine of up to $5 million, and at least four years of supervised release following any term of imprisonment. ARMSTRONG was charged with conspiring to distribute a quantity of heroin. If convicted of this charge, he faces a term of imprisonment of 20 years, a fine of up to $1 million, and at least three years of supervised release following any term of imprisonment.
The indictment also alleges that MORGAN, GREEN, CELESTINE, and ROBINSON conspired to possess firearms in furtherance of a drug-trafficking crime during the same time period. If convicted of this count, each defendant faces a term of imprisonment of up to 20 years, a fine of up to $250,000, and up to three years of supervised release following any term of imprisonment. In addition, MORGAN, GREEN, CELESTINE, and ROBINSON were each charged with substantive counts of possession of firearms in furtherance of a drug-trafficking crime. If convicted of this offense, each defendant faces a term of imprisonment of 5 years to life, a fine of up to $250,000, and up to five years of supervised release following any term of imprisonment.
The indictment also charges MORGAN, GREEN, ROBINSON, and SCHEXNAYDER, convicted felons, with illegally possessing firearms. If convicted on these charges, MORGAN, GREEN, ROBINSON, and SCHEXNAYDER each face a term of imprisonment of up to 10 years, a fine of up to $250,000, and up to three years of supervised release following any term of imprisonment. GREEN is charged with six counts of distribution of a quantity of heroin, and ARMSTRONG is charged with one count of distribution of a quantity of heroin. If convicted of these charges, GREEN and ARMSTRONG face, as to each count, a term of imprisonment of up to 20 years, a fine of up to $1 million, and at least three years of supervised release following any term of imprisonment. GREEN, and ROBINSON are charged with possession with intent to distribute heroin and MDMA, and MORGAN and CELESTINE are charged with possession with intent to distribute a Schedule I controlled substance called “U-47700.” If convicted of these crimes, each defendant faces a term of imprisonment of up to 20 years, a fine of up to $1,000,000, and at least three years of supervised release following any term of imprisonment.
U.S. Attorney Evans reiterated that the indictment is merely an allegation and that the guilt of the defendant must be proven beyond a reasonable doubt.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, the New Orleans Police Department, the Louisiana State Police, and the Terrebonne Parish Sheriff’s Office. Assistant United States Attorneys Maria M. Carboni and Matthew R. Payne are in charge of the prosecution.
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Salvadoran National Charged with Failure to Register as a Sex OffenderRead the Press Release
BOSTON - A Salvadoran national was charged Tuesday, Aug. 21, 2018, in federal court in Boston with failure to register as a sex offender as required under the Sex Offender Registration and Notification Act (SORNA).
Melvin Velasquez, 34, was charged with one count of failure to register as a sex offender. U.S. Magistrate Judge Donald L. Cabell ordered him detained pending trial.
According to court records, in 2007, Velasquez was convicted in New York of one count of rape in the third degree and sentenced to eight months in jail. Velasquez was subsequently required to register as a sex offender in any jurisdiction where he resided or worked. Velasquez, who was determined to be illegally present in the United States, was sentenced on the rape charge, and, upon completion of his sentence in 2008, deported to El Salvador.
Sometime thereafter, Velasquez returned to the United States and assumed a false identity. In May 2018, Velasquez, using his alias, was arrested and charged with various motor vehicle violations. Velasquez’s fingerprints were obtained and found to match the prints in his A-file and from his 2007 New York rape conviction. Law enforcement then queried the Massachusetts Sex Offender Registry Board and determined that Velasquez had not registered, as required by law, in Massachusetts.
The charge of failure to register provides for a sentence of no greater than 10 years in prison, three years of supervised release, and a fine of up to $250,000 fine. Velasquez will be subject to deportation proceedings. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; United States Marshal John Gibbons of the District of Massachusetts; and, Rebecca Adducci, Interim Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s of the Major Crimes Unit is prosecuting the case.
The details contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Russellville Felon Pleads Guilty to Possessing Illegal Sawed-Off ShotgunRead the Press Release
BOWLING GREEN, Ky. – Russellville, Kentucky, man, Tracy Green Baskerville, pled guilty before United States District Judge Greg N. Stivers this week to being a felon possessing an unregistered sawed-off shotgun, announced United States Attorney Russell M. Coleman.
Baskerville, age 44, pled guilty to one count of being a felon in possession of a firearm and one count of possession of an unregistered modified firearm. The Russellville man faces 15 years to life in federal prison, a $500,000 fine and five years of supervised release. There is no parole in the federal system.
According to court records, on April 27, 2015, the Russellville Police Department and the Logan County Sheriff’s Office responded to a 911 call from Baskerville’s mother’s residence. During the call with 911, a woman could be heard pleading for someone to “put down the gun.” An investigation by officers revealed Baskerville had threatened to kill his girlfriend and brother. A search of the residence, consented to by Baskerville’s mother, revealed a Harrington and Richardson, Inc. Model 088, .20 gauge sawed off shotgun with a barrel length of 6 ¼ inches and an overall length of 9 inches as well as one round of .20 gauge ammunition. Logan County Sheriff’s Office officials arrested Baskerville. Shotguns must have an overall length of 26 inches, and barrel of no less than 18 inches.
While at the Logan County Jail on April 27, 2015, Baskerville admitted to law enforcement officials that the sawed-off shotgun belonged to him, but he denied altering the firearm at that time. Baskerville also admitted he was a multi-convicted felon on probation for manufacturing Methamphetamine.
Sentencing has been scheduled in Bowling Green on November 15, 2018.
This case is being prosecuted by Assistant United States Attorney Jo. E. Lawless. The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Logan County Sheriff’s Office and Russellville Police Department conducted the investigation.
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Richmond Man Pleads Guilty to Federal Drug Trafficking and Firearms OffensesRead the Press Release
LEXINGTON, Ky. — Dwayne Thomas Farmer, 36, of Richmond, Ky., pleaded guilty today to trafficking in methamphetamine, possession of a firearm by a convicted felon, and possession of a firearm in furtherance of drug trafficking.
In the course of his guilty plea, Farmer admitted the, on June 27, 2017, law enforcement officers executed a search warrant at his Richmond apartment. During the search, officers seized over 220 grams of methamphetamine, which was in close proximity to two shotguns.
Farmer admitted that he had traded methamphetamine for the two shotguns, which were located in his bedroom, behind the couch. Farmer admitted that he kept the shotguns for protection and that he intended to sell the drugs. The street value of the methamphetamine was more than $20,000.
Farmer, was previously convicted of felony drug trafficking in Knox County, Tennessee and Whitley County, Kentucky, prior to his commission of the federal offenses resolved by his guilty plea.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Stuart Lowery, Special Agent in Charge, ATF Louisville, Christopher Evans, Special Agent in Charge DEA Louisville; and Chief James Ebert, Richmond Police Department jointly made the announcement.
The investigation was conducted by the ATF, DEA, the Richmond Police Department and the Madison County AHIDTA Task Force. The United States was represented by Assistant United States Attorney Roger W. West.
Farmer is currently scheduled to appear for sentencing before Chief United States District Judge Karen K. Caldwell, in Lexington, on December 19, 2018. Farmer faces up to life in prison. However, any sentence following conviction will be imposed by the Court after consideration of the United States Sentencing Guidelines and the federal statute governing the imposition of sentences.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Sessions reinvigorated PSN in 2017, as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, local strategies to reduce violent crime.
Rhode Island Tax Preparer Pleads Guilty to Forty-Four Counts of Filing Fraudulent Tax ReturnsRead the Press Release
A West Warwick, Rhode Island tax preparer pleaded guilty today in the U.S. District Court for the District of Rhode Island to 44 counts of filing fraudulent tax returns for clients, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman and U.S. Attorney for the District of Massachusetts Andrew Lelling.
According to documents and information provided to the court, Raymond Petrarca owned and operated Stratus Financial Group, a tax preparation business in Warwick, Rhode Island. Petrarca admitted to falsifying 44 tax returns prepared for his clients between tax years 2010 and 2015, seeking refunds from the Internal Revenue Service to which his clients were not entitled. Petrarca admitted to falsifying the returns by including false and inflated deductions for home mortgage interest and charitable donations and false and inflated credits for purported home energy improvements.
Sentencing is scheduled for December 5, 2018. Petrarca faces a maximum sentence of three years in prison on each count, as well as a period of supervised release, restitution, and monetary penalties.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Lelling thanked special agents of IRS-Criminal Investigation, who conducted the investigation, and Assistant U.S. Attorney Victor A. Wild and Trial Attorney Kimberly G. Ang of the Tax Division, who are prosecuting the case.
Repeat Sex Offender Sentenced to over 19 Years for Attempted Receipt of Obscene ImagesRead the Press Release
NEWPORT NEWS, Va. – A Newport News man with a significant history of sexual offenses involving minors was sentenced today to 235 months in prison for attempted receipt of obscene images depicting the sexual abuse of children, obstruction of justice, destruction of evidence, and penalties for a registered sex offender.
Elmer E. Eychaner, III, 46, was convicted at trial by a federal jury on May 18. According to court records and evidence presented at trial, Eychaner previously was convicted in federal court of child pornography crimes in 2008. On June 13, 2016, Eychaner began a period of federal supervision and was prohibited from having a computer, but he requested a computer so that he could look for a better job. The probation office allowed Eychaner to have a computer that was monitored through a third-party company, RemoteCOM.
On November 17, 2016, Eychaner went onto his government-monitored computer and searched for obscene cartoon images depicting the sexual abuse of minors. He utilized voice recognition software, Cortana, to try to evade the computer-monitoring software. After he was finished searching for the obscene images, he deleted his search history. The next day, he called his federal probation officer and confessed. When the probation officer told him she was coming to collect his computer, Eychaner admitted that he had removed the hard drive and thrown it down a storm drain.
In addition to the federal child pornography conviction in 2008, Eychaner also was previously convicted of promoting obscenity to minors in North Dakota in August 1992, and gross sexual imposition in North Dakota in May 1994.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office, made the announcement after sentencing by U.S. District Judge Mark S. Davis. Assistant U.S. Attorneys Lisa R. McKeel and Megan M. Cowles prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:17-cr-76.
Reliant to Pay $6.1 Million to Settle False Claims Act Allegations That it Paid Kickbacks to Nursing Homes for Rehabilitation Therapy BusinessRead the Press Release
Reliant Rehabilitation Holdings Inc. (Reliant), a national provider of rehabilitation therapy and related services headquartered in Plano, Texas, has agreed to pay the United States $6.1 million to resolve allegations that it violated the False Claims Act (FCA), 31 U.S.C. §3729, et seq., by paying kickbacks to skilled nursing facilities and physicians in connection with care provided to Medicare beneficiaries as a way of improperly promoting Reliant’s rehabilitation therapy business, the Justice Department announced today.
The United States alleged that between April 1, 2013, and May 1, 2017, Reliant knowingly offered improper inducements, in the form of Reliant-employed nurse practitioners who worked at client nursing homes without charge or for a nominal, below fair market fee in order to induce or reward nursing homes for contracting with Reliant to provide rehabilitation therapy for their residents. The settlement between the United States and Reliant resolves this claim, as well as a separate allegation that Reliant violated the FCA by causing the submission of claims to Medicare that were tainted by improper contracts between Reliant and physicians working at skilled nursing facilities that offered the physicians above fair market compensation for supervising and collaborating with Reliant nurse practitioners in exchange for the facilities’ therapy business.
“The Justice Department is committed to investigating and routing out any improper financial relationships between health care providers that have the potential to undermine patient care and trust.” said Acting Assistant Attorney General Chad A. Readler for the Justice Department’s Civil Division. “This settlement demonstrates our commitment to protecting the integrity of the Medicare program.”
“Companies that work to secure patient referrals by providing kickbacks inject improper financial considerations into our healthcare system,” said United States Attorney Erin Nealy Cox for the Northern District of Texas. “Today’s settlement demonstrates our determination to thwart such improper inducements — whether they take the form of cash payments or free services.”
“Paying illegal remuneration to nursing homes and doctors to increase the bottom line – as contended by the government in this case – is unacceptable as it too often sacrifices the best interests of patients to profit-making schemes,” said CJ Porter, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “Patients and taxpayers deserve better.”
The allegations resolved by the settlement agreement were originally brought by Dr. Thomas Prose under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private citizens with knowledge of fraud against the government to bring an action on behalf of the United States and to share in any recovery. Dr. Prose will receive approximately $915,000 of the settlement proceeds.
The case was handled by the Justice Department’s Civil Division and the U.S. Attorney’s Offices for the Northern District of Texas. Investigative assistance was provided by the U.S. Department of Health and Human Services Office of Inspector General.
The lawsuit is captioned United States ex rel. Prose v. Reliant Rehabilitation, Civil Action No. 3:16-CV-0707-D (N.D. Tex.). The claims settled by this agreement are allegations only, and there has been no determination of liability.
Reliant to Pay $6.1 Million to Settle False Claims Act Allegations That It Paid Kickbacks to Nursing Homes for Rehabilitation Therapy BusinessRead the Press Release
WASHINGTON – Reliant Rehabilitation Holdings Inc. (Reliant), a national provider of rehabilitation therapy and related services headquartered in Plano, Texas, has agreed to pay the United States $6.1 million to resolve allegations that it violated the False Claims Act (FCA), 31 U.S.C. §3729, et seq., by paying kickbacks to skilled nursing facilities and physicians in connection with care provided to Medicare beneficiaries as a way of improperly promoting Reliant’s rehabilitation therapy business, the Justice Department announced today.
The United States alleged that between April 1, 2013, and May 1, 2017, Reliant knowingly offered improper inducements, in the form of Reliant-employed nurse practitioners who worked at client nursing homes without charge or for a nominal, below fair market fee in order to induce or reward nursing homes for contracting with Reliant to provide rehabilitation therapy for their residents. The settlement between the United States and Reliant resolves this claim, as well as a separate allegation that Reliant violated the FCA by causing the submission of claims to Medicare that were tainted by improper contracts between Reliant and physicians working at skilled nursing facilities that offered the physicians above fair market compensation for supervising and collaborating with Reliant nurse practitioners in exchange for the facilities’ therapy business.
“The Justice Department is committed to investigating and routing out any improper financial relationships between health care providers that have the potential to undermine patient care and trust.” said Acting Assistant Attorney General Chad A. Readler for the Justice Department’s Civil Division. “This settlement demonstrates our commitment to protecting the integrity of the Medicare program.”
“Companies that work to secure patient referrals by providing kickbacks inject improper financial considerations into our healthcare system,” said United States Attorney Erin Nealy Cox for the Northern District of Texas. “Today’s settlement demonstrates our determination to thwart such improper inducements — whether they take the form of cash payments or free services.”
“Paying illegal remuneration to nursing homes and doctors to increase the bottom line – as contended by the government in this case – is unacceptable as it too often sacrifices the best interests of patients to profit-making schemes,” said CJ Porter, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services. “Patients and taxpayers deserve better.”
The allegations resolved by the settlement agreement were originally brought by Dr. Thomas Prose under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private citizens with knowledge of fraud against the government to bring an action on behalf of the United States and to share in any recovery. Dr. Prose will receive approximately $915,000 of the settlement proceeds.
The case was handled by the Justice Department’s Civil Division and the U.S. Attorney’s Offices for the Northern District of Texas. Investigative assistance was provided by the U.S. Department of Health and Human Services Office of Inspector General.
The lawsuit is captioned United States ex rel. Prose v. Reliant Rehabilitation, Civil Action No. 3:16-CV-0707-D (N.D. Tex.). The claims settled by this agreement are allegations only, and there has been no determination of liability.
Pulaski County Woman Indicted for Bankruptcy FraudRead the Press Release
A federal grand jury for the Southern District of Illinois has returned an indictment charging Jessica A. Browning, 44, of Ullin, Illinois (Pulaski County), with two counts of bankruptcy fraud, announced Steven D. Weinhoeft, United States Attorney for the Southern District of Illinois. Browning was indicted as part of the U.S. Attorney’s Office’s continuing effort to crackdown on those who commit fraud in the U.S. Bankruptcy Court for the Southern District of Illinois.
Browning filed a chapter 13 bankruptcy case in the federal bankruptcy court in Benton, Illinois, on March 17, 2014. The indictment charges that, on a document she filed with the bankruptcy court, Browning intentionally concealed the fact that just three weeks before filing bankruptcy she had received a $12,675.47 worker’s compensation award. The indictment further alleges that, at a meeting of creditors in her bankruptcy case, Browning provided false testimony regarding what she did with the funds from her worker’s compensation award.
"I am grateful to U.S. Attorney Weinhoeft and our law enforcement partners for their strong commitment to combating fraud and abuse in bankruptcy cases, as evidenced by today’s proceedings," stated Nancy J. Gargula, U.S. Trustee for Southern Illinois, Central Illinois and Indiana (Region 10). The U.S. Trustee Program is the component of the Justice Department that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. Region 10 is headquartered in Indianapolis, with additional offices in South Bend, Indiana, and Peoria, Illinois.
Browning is charged with making a false statement under penalty of perjury in a bankruptcy case and making a false statement under oath in a bankruptcy case. Both crimes carry a maximum sentence of five years in prison and a fine of up to $250,000.
The arraignment for Browning will be conducted on September 5, 2018 at 1:30 p.m. at the Federal Courthouse in Benton, Illinois.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
The charges resulted from a referral by the U.S. Trustee for Region 10 to the U.S. Attorney for the Southern District of Illinois. The investigation was conducted by agents from the Fairview Heights, Illinois, Office of the Internal Revenue Service – Criminal Investigations, in collaboration with the Southern Illinois Bankruptcy Fraud Working Group coordinated by the U.S. Trustee. The case is being prosecuted by Assistant United States Attorney Scott A. Verseman.
Project Safe Neighborhoods Initiative Leads to Multiple ArrestsRead the Press Release
CHARLOTTE, N.C. – U.S. Attorney Andrew Murray announced today that after a ten-month joint investigation, FBI agents and CMPD officers arrested 11 individuals during an early morning round-up. Ten of those arrested face federal charges and one was arrested on state offenses. Two others currently in state custody have also been indicted federally, bringing the total number of those charged as part of this Project Safe Neighborhoods (PSN) initiative to 13.
“This morning’s round-up was the result of a joint law enforcement investigation into drug dealing and drug related criminal activity in and around the Lakewood Community in Charlotte,” said U.S. Attorney Murray. “Today’s coordinated action is part of our PSN strategy, which calls upon all levels of law enforcement to combine forces to reduce drug distribution and drug-fueled crimes in our neighborhoods, and to increase community safety.”
Those arrested today on multiple federal charges of distribution and possession with intent to distribute crack cocaine are: Ashley Bennet, 22, of Charlotte; Travis Burris, 21, of Charlotte; Charles Berry, 49, of Charlotte; Andre Booker, 23, of Charlotte, Lemuel Carr, 21, of Charlotte; Marcus Hammonds, 33, of Charlotte; Jonathan Means, 38, of Charlotte; Jermaine Monroe, 37, of Charlotte; Robert Fitzgerald Moore, 53, of Charlotte; and Dandre Morrison, 30, of Charlotte. Ashley Bennet, and Travis Burris are also charged with conspiracy to distribute and to possess with intent to distribute crack cocaine. Marcus Gregory was also arrested today on state charges.
Two individuals currently in state custody now face federal offenses. Shea Roseboro, 28, is charged with distribution and possession with intent distribute crack cocaine, and Kwame Hakeem Crawford, 27, is charged with possession of a firearm by a convicted felon.
The charges contained in the indictment are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
In making today’s announcement, U.S. Attorney Murray commends the FBI and CMPD for their investigative efforts, and thanks the U.S. Marshals Service for their assistance with this morning’s arrests. U.S. Attorney Murray also thanks the North Carolina Department of Public Safety’s Adult Correction and Juvenile Justice, and the Mecklenburg County District Attorney’s Office for their collaboration with this investigation.
Assistant U.S. Attorney Lambert Guinn of the U.S. Attorney’s Office in Charlotte is leading the prosecution.
Project Safe Neighborhood Sweep Nets 29 Individuals Charged with Drug and Gun Charges in Brockton and BostonRead the Press Release
BOSTON – 29 individuals have been charged with federal and state drug, firearms, and counterfeiting offenses as part of federal investigations in Brockton and Boston. The cases were brought as part of the Department of Justice’s Project Safe Neighborhood Initiative (PSN), which aims to bring together all levels of law enforcement to reduce violent crime.
As part of today’s sweep, 25 defendants were arrested on federal and state charges, two defendants remain at-large, and two others were already in custody. Today’s operation involved over 150 federal, state and local law enforcement agents from all over New England. The arrests are the culmination of two separate federal investigations dubbed Operation Landshark and Operation Nor’Easter.
According to the charging documents, Operation Landshark is an investigation that targeted impact players and repeat offenders in Brockton and Boston, each who have prior convictions for acts of violence, firearm offenses and/or drug trafficking. It is alleged that many of the Operation Landshark targets are in the top 30 criminal offenders responsible for violent acts and firearms in Brockton.
During Operation Nor’Easter, from April 2016 through January 2018, law enforcement made controlled purchases of drugs from targets in Boston.
During the investigations, law enforcement officers bought or seized 15 guns and purchased or seized fentanyl, heroin, cocaine, and cocaine base.
The following defendants were arrested today on federal charges:
- JC Anderson, a/k/a “Skeeter Weeter,” 46, of Taunton, for distribution of cocaine base;
- Chad Benjamin, a/k/a “Life,” 40, of South Boston, for distribution of 28 grams or more of cocaine base;
- Jarrod Benjamin, a/k/a “J-Rock,” 37, of Brockton, for distribution of cocaine base;
- Tequan Brown, a/k/a “Purp,” 26, of Brockton, for distribution of fentanyl;
- Edrick Firmin, a/k/a “Rah,” of Brockton, for distribution of fentanyl;
- Dylan Fontes, a/k/a “J,” 26, of Brockton, for distribution of fentanyl;
- Andre Gallette, 57, of Boston, for being a felon in possession of a firearm and ammunition;
- James Hardy, 52, of Roslindale, for distribution of cocaine base and distribution of fentanyl;
- Allah Mallory, a/k/a “Parod,” 31, of Brockton, for distribution of cocaine base;
- Jorge Monteiro, a/k/a “Jay,” 23, of Brockton, for distribution of fentanyl;
- Derek Moore, 46, of Roxbury, for being a felon in possession of a firearm;
- Abdul-Karim Muwakkil, a/k/a “Tyrone Jones,” and a/k/a “Ty,” 37, of Dorchester, for conspiracy to distribute and distribution of heroin and fentanyl;
- Jeffrey Oliveira, 23, of Brockton, for distribution of fentanyl;
- Franklin Perry, 52, of Dorchester, for selling counterfeit notes;
- Tavon Robinson, a/k/a “Smooth,” 39, of Boston, for conspiracy to distribute and distribution of heroin and fentanyl;
- Tyrone Smith, a/k/a “Ty,” 31, of Brockton, for distribution of cocaine base;
- Dante Starks, a/k/a “Tay,” 36, of Mattapan, for distribution of cocaine;
- Orlando Waters, 30, of Boston, for distribution of cocaine base;
- Gary Jamal Webster, a/k/a “Jamal,” 35, of Boston, for conspiracy to distribute and possess with intent to distribute cocaine and fentanyl; and
- Rashard Wilson, 36, of Brockton, for distribution of cocaine.
One defendant was charged, but is still at-large:
- FUGITIVE
In addition, the following defendants, who are already in state custody, were charged federally:
- Sirrocko Landrum, 29, of Boston, for being a felon in possession of a firearm and ammunition; and
- Raul Robles, 29, of Brockton, for distribution and possession with intent to distribute cocaine, and for being felon in possession of a firearm and ammunition.
Six additional defendants were charged with state drug and firearms offenses:
- Dana Brown, 45, of Brockton;
- Jason DaCruz, 34, of Brockton;
- Vito Gray, 48, of Boston;
- Steven Mendes, 31, of Brockton;
- Terrell Walker, 63, of East Falmouth; and
- FUGITIVE
The federal charge of drug distribution provides for a sentence of no greater than 20 years in prison, at least three years of supervised release and a $1 million fine. If the defendant has a prior conviction for a drug distribution offense or crime of violence, the maximum sentence is 30 years in prison, at least six years and up to a lifetime of supervised release and a $2 million fine. The federal charge of distribution of 28 grams or more of cocaine base provides for a minimum of five years and up to 40 years in prison, at least four years and up to a lifetime of supervised release and a $5 million fine. The maximum sentence in federal court for being a felon in possession of a firearm is 10 years in prison, three years of supervised release and a $250,000 fine. The maximum sentence for selling counterfeit notes is 20 years in prison, three years of supervised release and a $250,000 fine. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Colonel Kerry A. Gilpin, Superintendent of the Massachusetts State Police; Plymouth County District Attorney Timothy J. Cruz; Suffolk County District Attorney Daniel F. Conley; Boston Police Commissioner William Gross; and Brockton Police Chief John Crowley made the announcement today. The investigation was conducted by the FBI’s North Shore Gang Task Force and Southeastern Massachusetts Gang Task Force. Valuable assistance was provided by the Suffolk County Sheriff’s Office; the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; Plymouth and Essex County Sheriff’s Offices; Massachusetts Department of Corrections; U.S. Parole Commission; U.S. Postal Inspection Services; and the U.S. Secret Service. The state cases are being prosecuted by the Plymouth County District Attorney’s Office and Suffolk County District Attorney’s Office.
The details contained in the indictments and complaints are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Producer of Child Pornography Sentenced to More Than Nineteen Years in Federal PrisonRead the Press Release
Jacksonville, Florida – U.S. District Judge Brian J. Davis has sentenced William Harvey Gulkis (30, Jacksonville) to 19 years and 7 months in federal prison for producing child pornography. The court also ordered Gulkis to pay $8,000 in restitution to the victims of his offenses, register as a sex offender, and serve a life term of supervised release.
Gulkis pleaded guilty on November 3, 2017.
According to court documents, in January 2017, law enforcement began an investigation after learning about the prolific sharing of child pornography files linked to Gulkis’s residence. Agents from U.S. Immigration and Customs Enforcement’s Homeland Security Investigations also learned that an individual at Gulkis’s residence was sharing self-produced child erotica files on a photo-sharing website.
During the execution of a search warrant at Gulkis’s residence, agents discovered that Gulkis had produced and shared child erotica and child pornography files and had produced photographs of himself masturbating with young children in the background of the images. Gulkis also produced child pornography depicting sleeping children whose clothing he had removed to display their genitals.
In addition to the files he produced, Gulkis had collected more than 6,000 files of child pornography.
“This predator took advantage of these young children at their most vulnerable moments,” said HSI Tampa Special Agent in Charge James C. Spero. “Our greatest hope is that today’s sentencing will bring some small measure of closure to the innocent victims.”
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the St. Johns County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Kelly S. Karase.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Plymouth Man Pleads Guilty to Cyberstalking CampaignRead the Press Release
BOSTON – A Plymouth man pleaded guilty today in federal court in Boston to anonymously stalking three women by text message and social media, including one woman he stalked throughout the 14-months that they dated.
Joseph Kukstis, 29, pleaded guilty to three counts of stalking by electronic means. U.S. District Court Judge F. Dennis Saylor IV scheduled sentencing for Nov. 19, 2018. Kukstis was arrested and charged in April 2018 and has been in custody since.
From August 2015 until February 2018, Kukstis targeted a woman he was dating, with an anonymous harassment campaign. Kukstis sent the victim hundreds of degrading text messages, many of which urged her to kill herself, and threatened that her harasser would come to her home. Kukstis also sent private, intimate pictures of the victim to her friends and acquaintances through a “spoofed” Instagram account he created in her name. In addition, Kukstis harassed men who he believed were romantically involved with the woman. Kukstis also attempted to obtain unauthorized access to the victim’s social media accounts. Kukstis also sent himself harassing messages that he then shared with the victim, purportedly as proof to her that he, too, was a victim of the stalking. In January 2018, Kukstis sent an e-mail from an account in his own name to the victim, saying: “it was me the entire time, I hate myself for it.”
In connection with his plea, Kukstis also admitted to cyberstalking four other girlfriends and acquaintances. These included a friend from elementary school who he attempted to drive apart from her then boyfriend. Kukstis also sent the victim anonymous text messages stating that she was fat, worthless, and that she should kill herself.
Kukstis also cyberstalked another woman with whom he was in a romantic relationship. In early 2013, Kukstis texted the victim and her friends from anonymous phone numbers, calling her names and harassing her. He also attempted to access the victim’s email and social media accounts. The victim obtained a civil restraining order against Kukstis in February 2013.
In 2014, Kukstis was in a romantic relationship with another woman who he texted posing as her childhood crush and solicited intimate pictures of her. When she complied, Kukstis (posing as the childhood crush) threatened to tell Kukstis about this “betrayal” if she didn’t confess herself. In November 2014, as a result of these and similar encounters, the victim ended her relationship with Kukstis and obtained a civil restraining against him. Kukstis repeatedly violated the restraining order by contacting and anonymously harassing the victim.
In November 2017, Kukstis began messaging with another woman via Instagram, Snapchat, and text message. Kukstis also began sending the victim anonymous text messages through Pinger, including messages in which he posed as the victim’s ex-boyfriend, against whom she had a civil restraining order. When the victim confronted Kukstis for impersonating her ex-boyfriend, Kukstis responded with text messages stating: “You’re fat this was funny you suck;” “Glad your day is ruined;” and “Kill yourself [Jane Doe C].” Kukstis also sent the victim pictures of a partially clothed acquaintance of one of the other victims.
The charges of stalking provide for a sentence of no greater than five years in prison, three years of supervised release, a fine of $250,000, and restitution. Sentences are imposed by a U.S. district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Harold H. Shaw, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. Assistant U.S. Attorney Seth B. Kosto of Lelling’s Cybercrime Unit is prosecuting the case.
Orlando Man Convicted, Two More Plead Guilty for Scheme Involving Impersonation of Homeland Security AgentsRead the Press Release
Orlando, Florida – A federal jury has found Jean David Jules (33, citizen of Haiti) guilty of two counts of aiding and abetting wire fraud. Three co-defendants, Donte Sherrick Harris (30, Kissimmee), Jason Tyiwuan Green (22, Orlando), and Jonathan Wayne Thorne (27, Kissimmee), previously pleaded guilty to aiding and abetting wire fraud. In addition, six others have pleaded guilty to conspiracy to commit wire fraud related to the same fraud scheme.
According to court documents, from at least August 2015 through June 2017, Jules and others participated in a criminal organization that gained money from victims by impersonating agents with the Department of Homeland Security (DHS) and/or the Cyber Crimes Center (C3). The scheme began with the defendants placing fraudulent posts on adult dating websites, claiming to be a “nerdy girl seeking nerdy guy.” When a victim responded to a fraudulent ad, a defendant continued to pretend he was a female seeking companionship. Days later, a defendant would contact the victim and pretend to be a federal agent assigned to the “C3 Child Exploitation Division” or other components of DHS. The defendant then would accuse the victim of soliciting a minor on the internet and falsely claim that there were outstanding warrants for the victim’s arrest.
The defendants used fraudulent email addresses that appeared to be from law enforcement agencies, or phone applications disguised as law enforcement phone numbers. They told their victims that they could pay a “fine” or “fees” so that the purported warrants could be “purged” or “cleared.” Victims were directed to wire funds, in the names of the defendants or their aliases, to the purported “agents” using a money service business. Many sent multiple extortion payments, ranging from $200 to $1,900 each. Law enforcement estimates that the scheme resulted in at least $311,000 in profits.
This case was investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations Office of Professional Responsibility, and Homeland Security Investigations (San Diego), with assistance from the Naval Criminal Investigative Service (San Diego), and the Osceola County Sheriff’s Office. It was prosecuted by Special Assistant United States Attorney Brandon Bayliss, on assignment from the Office of the Principal Legal Advisor, ICE. Assistant United States Attorney Emily Chang assisted with the prosecution.
Operator of bogus charity sentenced for defrauding multiple companiesRead the Press Release
ATLANTA – Kai Brockington, the former operator of a bogus charity, was sentenced to federal prison for defrauding multiple large companies that donated hundreds of thousands of dollars.
“Brockington stole funds that could have gone to legitimate charities that helped those in need,” said U. S. Attorney Byung J. “BJay” Pak. “His prison sentence is a just punishment for his greed.”
“The FBI is hopeful that Brockington’s sentence will send a strong message to anyone who would try to take advantage of the benevolent intentions of donors,” said J. C. “Chris” Hacker, Special Agent in Charge of FBI Atlanta. “Brockington undermined every legitimate charity’s work to carry out humanitarian missions with his disregard for their generosity to satisfy his own personal greed.”
“Officials who operate non-profit entities designed to assist charitable endeavors hold positions of trust not only in their companies, but also in the eyes of the public and we at the IRS owe it to every American taxpayer to use all lawful means to identify and prosecute those who evade their taxes as well as engage in other financial crimes”, stated Gabriel L. Grchan, Acting Special Agent in Charge of the IRS Criminal Investigation St. Paul Field Office. “It is our hope that Brockington’s sentence sends the strong message that tampering with the integrity of our nation’s tax system will result in prison time."
“Charity fraud, like many financial crimes, erodes the integrity of honest, noble charitable organizations, and threatens the financial health of our communities,” said U.S. Postal Inspector in Charge Kevin Rho of the Denver Division. “This sentence is the culmination of a successful joint investigative effort to protect vulnerable individuals and businesses from charity fraud and its effect on our communities, by ensuring the integrity of the U.S. Mail.”
According to U.S. Attorney Pak, the charges, and other information presented in court: Brockington was the primary operator of “Our Genesis Project,” a non-profit entity that supposedly provided healthcare to underprivileged recipients. In reality, Our Genesis Project never conducted any actual charitable work. Beginning in 2013, Brockington caused employees of several large companies to falsely tell their employers that they had donated money to Our Genesis Project. These large companies had programs that permitted their employees to donate money to a charity and request that the company match those donations. As a result, the companies donated substantial sums of money to Our Genesis Project.
From 2013 through 2017, Brockington caused several large companies to donate approximately $668,000 to Our Genesis Project through their charity matching programs. Instead of using these donations for charitable endeavors, Brockington spent the funds on himself and his family members, including purchases of jewelry and expensive clothing and shoes, trips to Italy and Disney World, as well as updates to the family home and other living expenses.
During this time period, Brockington repeatedly filed false tax returns with the Internal Revenue Service, including false federal income tax returns that failed to account for the money he was earning from his scheme as well as returns that falsely claimed Our Genesis Project was spending the funds on community grants, community activities, and community expenses. Additionally, Brockington filed for personal bankruptcy in 2015 and failed to disclose the substantial sums of money he had earned from this fraud scheme.
Kai Brockington, 36, of Dallas, Georgia, was sentenced to three years, five months in prison, to be followed by three years of supervised release on August 22, 2018. He was also ordered to pay restitution to the victim companies. Brockington pleaded guilty to charges of mail fraud and willfully filing a false federal income tax return on May 23, 2018.
This case was investigated by the Federal Bureau of Investigation, the Internal Revenue Service - Criminal Investigation Division, and the U.S. Postal Inspection Service.
Assistant U.S Attorney Thomas J. Krepp prosecuted the case, with invaluable assistance from Assistant U.S. Attorney Timothy C. Rank of the U.S. Attorney’s Office for the District of Minnesota.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Omaha Railcar Cleaning Company and Two Owners Charged with Violating Environmental and Worker Safety Laws Related to Workers’ 2015 DeathsRead the Press Release
Nebraska Railcar Cleaning Services LLC (NRCS), its president and owner, Steven Michael Braithwaite, and its vice president and co-owner, Adam Thomas Braithwaite, were charged in a 22-count indictment with conspiracy, violating worker safety standards resulting in worker deaths, violating the Resource Conservation and Recovery Act (RCRA) which governs hazardous waste management, and submitting false documents to a federal agency. Adam Braithwaite was also charged with perjury. The indictment was returned by a grand jury in Omaha, Nebraska today and announced by Acting Assistant Attorney General for the Environment and Natural Resources Division Jeffrey H. Wood and United States Attorney Joseph P. Kelly.
According to the indictment, NRCS and Steve and Adam Braithwaite failed to implement worker safety standards and then tried to cover that up during an inspection by the Occupational Safety and Health Administration (OSHA). The defendants also mishandled hazardous wastes removed from rail tanker cars during the cleaning process.
Two of the company’s workers were later killed and another injured when the contents of a railcar ignited while being cleaned.
“Protecting the health and safety of American workers at hazardous job sites is of paramount importance,” said Acting Assistant Attorney General Wood. “The defendants in this case failed to live up to that responsibility, even falsifying documents to evade worker safety requirements. Tragically, employees at the defendants’ facility lost their lives while working in these unsafe conditions. Today’s indictment shows that the Department of Justice will prosecute those who knowingly seek to thwart federal laws that protect the safety of American workers.”
“Whenever a company or its employees knowingly fail to comply with environmental laws, both the public and the environment are placed at risk” said Assistant Administrator Susan Bodine of EPA’s Office of Enforcement and Compliance Assurance. “This case demonstrates the importance of environmental compliance to safeguard public health and safety.”
“An important mission of the Office of Inspector General is to investigate allegations of fraud committed against the Department of Labor's regulatory agencies, including the Occupational Safety and Health Administration (OSHA). We will continue to work with our law enforcement partners to defend the missions of those regulatory agencies, which includes assuring safe and healthful working conditions for American workers,” said Steven Grell, Special Agent-In-Charge, Dallas Region, U.S. Department of Labor Office of Inspector General.
The indictment alleges that after a 2013 inspection of NRCS, Steve Braithwaite entered into a written agreement where he represented that NRCS had been testing for benzene since July 2014. After OSHA returned to NRCS in March 2015 to conduct a follow-up inspection and was turned away by Steve Braithwaite, Steve and Adam Braithwaite created documents that were submitted to OSHA to falsely show that NRCS had been purchasing equipment to test the contents of railcars for benzene and had taken other required safety precautions. During inspections by the Nebraska Department of Environmental Quality and the U.S. Environmental Protection Agency in 2013 and 2014 respectively, NRCS was informed that it was required to test its wastes to determine if they were hazardous in order to properly dispose of them, rather than send all untested waste to a landfill not permitted to receive hazardous waste. The indictment alleges that was not done before April 2015.
On April 14, 2015, the contents of a railcar ignited while being cleaned by NRCS employees. Two employees were killed and a third injured. Two days after the explosion, NRCS had three railcars tested to assess whether their contents were hazardous; two were determined to be hazardous.
OSHA regulations under the Occupational Safety and Health Act require that the air in confined spaces such as rail tanker cars be tested for various gases including flammable and explosive ones before workers are allowed to enter, and that workers exposed to certain chemicals wear respirators for which they must be assessed and fit tested. EPA regulations under RCRA require assessments of wastes for whether they are hazardous and that hazardous wastes be treated and disposed of at appropriate facilities. Hazardous wastes include those that are ignitable and those that contain benzene. According to the Centers for Disease Control and Prevention, benzene causes human cancer and has other health effects.
The case was investigated by EPA Criminal Investigation Division and the U.S. Department of Labor Office of Inspector General. Senior Counsel Krishna S. Dighe of the Department of Justice, Environmental Crimes Section, and Assistant U.S. Attorney Donald J. Kleine of the District of Nebraska are prosecuting the case.
United States Attorney Kelly reminds the public that an Indictment is merely a formal charging document and is not evidence of guilt. Every defendant is presumed innocent until and unless proven guilty.
For more information about EPA’s hazardous waste program and its requirements, visit https://www.epa.gov/hw.
For more information about OSHA’s confined space entry program and its requirements, visit https://www.osha.gov/SLTC/confinedspaces/.
For more information about benzene, visit https://emergency.cdc.gov/agent/benzene/basics/facts.asp.
Oklahoma City Man and Woman Indicted for Distributing Methamphetamine and Illegally Possessing a Machine Gun and SilencerRead the Press Release
OKLAHOMA CITY – CHRISTOPHER CHAD POOL, aka Christopher C. Poole, aka Cityboy, 39, and CHRISTINA LORAL POOL, aka Christina Loral McNees, aka Citygirl, 25, of Oklahoma City, were indicted this week for possessing methamphetamine with intent to distribute and multiple firearms charges.
A federal grand jury indicted Mr. Pool and Ms. Pool on August 21, 2018, for possessing methamphetamine with intent to distribute. The Pools were also indicted for possession of a Glock, Model 26, 9mm pistol that had been converted into a machine gun. Additionally, they were indicted for possession of two unregistered firearms—a silencer and a weapon made from a rifle: a Mossberg, Model 715T, .22 caliber rifle modified to a firearm with a barrel of less than sixteen inches. They were also indicted for being felons in possession of three firearms. Finally, the indictment charges them with possession of these firearms in furtherance of a drug-trafficking crime. The indictment seeks forfeiture of a pistol, two rifles, ammunition, a silencer, and approximately $5,789 in currency.
If Mr. Pool and Ms. Pool are found guilty of possessing methamphetamine with intent to distribute, each faces a maximum statutory sentence of 40 years. Additionally, they face a maximum statutory sentence of 10 years for each of the firearms charges, with the exception of possessing a firearm in furtherance of a drug-trafficking crime charge. This charge carries a mandatory minimum of 10 years for the weapon made from a rifle and a mandatory minimum of 30 years for the machine gun and for the Mossberg, Model 715T, .22 caliber rifle with a silencer. These statutory minimum sentences would run consecutive to any other sentence.
This case is the result of an investigation by Homeland Security Investigations and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorneys Nicholas J. Patterson and Wilson D. McGarry are prosecuting the case, which is part of Project Safe Neighborhoods, a Department of Justice program to reduce violent crime. In October 2017, Attorney General Jeff Sessions announced the reinvigoration of Project Safe Neighborhoods and directed U.S. Attorney’s Offices to develop crime-reduction strategies that incorporate lessons federal law enforcement has learned since the program’s launch in 2001.
Reference is made to court filings for further information.
Nine people, most from Toledo, indicted for their roles in a conspiracy to traffic fentanylRead the Press Release
Nine people, most from Toledo, were indicted in federal court for their roles in a conspiracy to traffic fentanyl.
Indicted are: Terrance Allen, 25; Nathaniel Barringer, 23; Chad Burkholder, 34; Megan Champion, 40; Ryin Douglas-Reed, 28; Laurie Lehman, 49; Julie Murdock, 47, of Petersburg, Mich.; Donte Walker, 30, and Russell Watson, 37. They are from Toledo unless otherwise noted.
All are charged with one count of conspiracy to possess with intent to distribute at least 400 gramd of fentanyl. The conspiracy took place from March 2018 through this month, according to the indictment.
Arrest warrants executed Thursday morning resulted in the seizure of drugs, cash and firearms.
“These defendants worked together to sell large amounts of fentanyl, which has killed so many of our neighbors,” U.S. Attorney Justin Herdman said. “We will work with federal agents and police officers to prosecute those who would profit from this drug epidemic.”
FBI Special Agent in Charge Stephen D. Anthony said: “This group of individuals brought drugs and violence to the streets of our community. Collaborative law enforcement actions will hold them accountable for the danger they have caused.”
“This is just another example of how the Toledo Police Department and the Federal Bureau of Investigation work together to keep all Toledoans safe,” Toledo Police Chief George Kral said. “This operation has identified numerous individuals who, through their actions, have victimized and harmed many. The City of Toledo is a safer place with these people behind bars. Those in our community who continue to sell drugs, carry firearms and victimize others should take notice of these arrests. We now hope that the judiciary will impose the harshest of sentences if convictions are realized.”
This case was investigated by the Federal Bureau of Investigation and Toledo Police Department, the Toledo Metro Drug Task Force and Northwest Ohio Violent Crime Task Force. It is being prosecuted by Assistant U.S. Attorneys Alissa M. Sterling and Noah Hood.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violations. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
An indictment is a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government's burden to prove guilt beyond a reasonable doubt.
New Orleans Man Pleads Guilty to Fentanyl DistributionRead the Press Release
U.S. Attorney Duane A. Evans announced that TONY LAM, age 40, of New Orleans, pled guilty to a one-count bill of information charging him with distribution of 40 grams or more of a mixture containing fentanyl, in violation of Title 21, United States, Code, Sections 841(a)(1) and 841(b)(1)(B).
According to the bill of information, TONY LAM distributed over 40 grams of a mixture containing fentanyl on July 7, 2017.
TONY LAM faces a term of imprisonment between ten years and life, a fine of up to $8,000,000, at least eight years supervised release after imprisonment, and a mandatory $100 special assessment. U.S. District Judge Martin L.C. Feldman will sentence LAM on December 5, 2018.
U.S. Attorney Evans praised the work of the Drug Enforcement Administration in investigating this matter. Assistant United States Attorney Jonathan L. Shih is in charge of the prosecution.
New Orleans Man Pleads Guilty to Failure to Register as a Sex OffenderRead the Press Release
U.S. Attorney Duane A. Evans announced that NATHANIEL RAINEY, a/k/a “Nathan Lee,” a/k/a “Nathaniel Rainie,” a/k/a “Nathaniel Palmore,” age 60, of New Orleans, pleaded guilty on August 22, 2018 to one count of failure to register as a sex offender under the federal Sex Offender Registration and Notification Act (SORNA) before U.S. District Judge Sarah S. Vance.
According to court documents, RAINEY was arrested in New Orleans on March 14, 2018, by members of the U.S. Marshals Service Fugitive Task Force, New Orleans Police Department, and Louisiana State Police. He had previously been convicted of two counts of sexual battery in the 24th Louisiana Judicial District Court on November 27, 2012, and sentenced to four years in prison. RAINEY was released to Texas custody, and he subsequently registered in Ennis, Texas in June 2014. He failed to appear for his annual re-registration in Texas, however, and a Texas warrant was issued for his arrest. RAINEY remained at large until Louisiana State Police investigators learned that he was residing back in New Orleans.
RAINEY faces a maximum term of 10 years in prison and a $250,000.00 fine. He also must be sentenced to a term of supervised release of between 5 years and life. Judge Vance set sentencing for December 12, 2018.
U.S. Attorney Evans praised the work of the United States Marshals Service, the Louisiana State Police, and the New Orleans Police Department in this matter. He extended his thanks to the Orleans Parish District Attorney’s Office for their assistance. Assistant United States Attorney Matthew R. Payne is in charge of prosecution.
New Orleans Man Indicted for False Statements to H.U.D. ProgramRead the Press Release
ANDREA HARRISON, age 57, a resident of New Orleans, Louisiana, was charged by a federal grand jury in a one-count indictment for false statements in relation to programs under the jurisdiction of the U.S. Department of Housing and Urban Development, announced U.S. Attorney Duane A. Evans.
According to court documents, a property owned by HARRISON received HUD grant funds as long as it was rented to low-income families. HARRISON submitted false documentation to make it appear that the property was being rented as required, when in truth and in fact, he was living in the property.
If convicted, the defendant faces five years of imprisonment, along with a $250,000 fine.
U.S. Attorney Duane Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the Office of Inspector General for the U.S. Department of Housing and Urban Development in investigating this matter. The prosecution of this case is being handled by Assistant U. S. Attorney G. Dall Kammer, Deputy Chief of the Fraud Unit.